RISBJ - The Banking, Lending & Investing Issue by Rhode Island Small Business Journal

volume four issue two

THE

BANKING, LENDING & INVESTING ISSUE

SBA Lending Checklist

Rhode Island SBA Lender Directory

Protecting your

Financial Future Choosing the Right

Small Business Bank

Are you Investing in your Business

www.risbj.com | volume four issue two

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from the founder How To Avoid A Case Of The Monday’s MY SIX TIPS TO STARTING A PRODUCTIVE WORK WEEK

If you ask around the office what your staff’s least favorite day of the week is, Monday wins hands down. Coming off the freedom and excitement of the weekend, starting up at work again can often look much like a car stuck in a snow bank; wheels are spinning, but not much is going on.

Everyone knows that Monday is just as, if not more important than the rest of the week because it’s the day that sets us up for a week of success. Not to mention that Monday accounts for 20% of our typical work week! So how can you ensure that you start your week off right? Here are my 6 tips to avoid having a case of the Monday’s:

WORK ON SUNDAY

What did I just say? That’s right. The first key in having a successful Monday, is Sunday. Spend 20-30 minutes on Sunday before bedtime to list your most important items for the week. Send yourself an email from your phone with the list so Monday morning, you’re ready to go!

WAKE UP EARLY

I try to wake up about an hour earlier than usual on Monday mornings. While that’s not always successful, I’m well intentioned. By waking up early, I can take the list I sent myself the night before and prioritize and categorize. I can also get some easy to-do items taken care of, like sending out important emails or meeting requests.

THE “TO-DO” LIST

Rather than a typical to-do list, I have a weekly Excel template that I print out that categorizes the types of tasks

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I need to get done. There are sections for calls, emails, proposals, meetings and other miscellaneous tasks. By categorizing my to-do list, I can easily address certain types of tasks. I keep this with me all week, and update as I go.

FIND A ROUTINE

One thing that I’ve found to make every day more productive, is to have a set routine that I follow every day. This holds true for the weekends as well. By having a routine, Monday’s will feel a lot more like every other day.

FORGET EMAIL, MAKE SALES CALLS

While I’m catching up on emails from late Friday and the weekend, the last thing I want is an email from someone trying to sell me something. Sales emails from Monday typically get buried in my inbox, never to be returned. Try making some sales calls on Monday. You’ll find that more people are in their office and at their desk preparing for the week, just like you are.

FORGET WHAT DAY IT IS

There is a mental aspect to Monday that some people can’t get over. We associate Friday with relief, Saturday and Sunday with fun and Monday with UGH. Forget it’s Monday. Monday is just another 24-hour day, another work day, and another day to be productive and focus on building your company. So the next time someone in your office says “somebody has a case of the Monday’s,” make it a point to let them know that you didn’t even know what day it was.

Gil Lantini Founder Ralph Coppolino Co-Founder John Resnick Marketing Coordinator Mike Casale Senior Designer Pam Walsh Managing Editor Sara Celano Production Assistant Intern Keri Biron Chad Sabo Contributing Writers Derek Amey Chris Barnett Jordan Becker Michael Brito Ted Donnelly Dana D’Orsi Secretary of State Nellie M. Gorbea Adam Harvey Carolyn Lavin David MacMillan William F. Miller Matthew R. Plain Patricia Raskin Stephanie Robl Dr. Ronald G. Shapiro Chris Sheehy Tim Sullivan Kristen M. Whittle Melissa Withers

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UPCOMING EVENTS NETWORKING AND WORKSHOPS For More Events Visit www.risbj.com FEB

Friday, February 13 Repeats Every Friday North Kingstown Chamber Business Consulting: Fridays at the NK Chamber 10:00am-12:00pm 8045 Post Rd., North Kingstown Friday, February 13 Crowne Plaza, Natick Equity National 2015 Networking Series 10:00am-1:00pm 1360 Worcester St., Natick

FEB

19 FEB

22 FEB

Tuesday, February 17 Repeats Every Tuesday North Kingstown Chamber Business Consultin 10:00am-12:00pm 8045 Post Rd., North Kingstown

FEB

Thursday, February 19 North Kingstown Chamber An Amazing Marketing Series 6:00pm-9:00pm 8045 Post Rd., North Kingstown Thursday, February 19 Chelo’s Restaurant Rotary Club of Warwick Meeting 12:15pm-1:30pm 2225 Post Rd., Warwick

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Thursday, February 26 The Hive RI Making Transitions Work for You 12:00pm-1:00pm 650 Ten Rod Rd., North Kingstown

Tuesday, February 24 Northern RI Chamber Small Business Health Insurance: Information and Resources to Help You Understand and Navigate the Market 8:30am-9:30am 6 Blackstone Valley Place, Ste. 402, Lincoln

Thursday, February 26 Eleven Forty Nine Restaurant East Greenwich Chamber Lunch & Learn with Lou Giancola 12:00pm-1:30pm 1149 Division Rd., East Greenwich Thursday, February 26 Chelo’s Restaurant Rotary Club of Warwick Meeting 12:15pm-1:30pm 2225 Post Rd., Warwick Thursday, February 26 Rhode Island State House Northern RI Chamber Annual Legislative Reception 4:30pm-7:00pm 82 Smith St., Providence Thursday, February 26 2nd Story Theatre East Bay Chamber Drinks and a Dress Rehearsal 7:30pm 28 Market St., Warren Thursday, February 26 North Kingstown Chamber An Amazing Marketing Series 6:00pm-9:00pm 8045 Post Rd., North Kingstown

Tuesday, February 24 Bryant University ISM Professional Development Meeting 5:30pm-8:00pm 1150 Douglas Turnpike, Smithfield FEB

25 FEB

Thursday, February 26 Lincoln Technical Institute Northern RI Chamber Business Before Hours 8:00am-9:15am 622 George Washington Highway, Lincoln

Sunday, February 22 The Vets FLICKERS’ Red Carpet Experience 6:00pm-11:30pm 1 Avenue of the Arts, Providence

Tuesday, February 24 Performance Physical Therapy East Greenwich Chamber Business After Hours 5:30pm-7:30pm 5750 Post Rd., East Greenwich

Wednesday, February 18 Rhode Island Convention Center Rhode Island Flower Show Preview Party 6:00pm-8:00pm 1 Sabin St., Cranston Thursday, February 19 Quonset Development Corporation Export/Import Compliance Workshop 8:30am-10:30am 95 Cripe St., North Kingstown

Tuesday, February 24 Chelo’s Restaurant Business Networking – Referral Pros 12:00pm-1:30pm 1275 Reservoir Ave., Cranston

Tuesday, February 17 Chelo’s Restaurant Business Networking – Referral Pros 12:00pm-1:30pm 1275 Reservoir Ave., Cranston

FEB

Tuesday, February 24 Every other Tuesday East Bay Chamber Together We Can Referral Networking Group 9:00am-10:30am 16 Cutler St., Ste. 102, Warren

Tuesday, February 17 Repeats Every Tuesday East Bay Chamber WEBOND Women’s Meeting 12:00pm-1:00pm 16 Cutler St., Ste. 102, Warren

FEB

Thursday, February 19 300 North Narragansett Chamber Business After Hours 7:30pm 3009 Tower Hill Rd., Saunderstown

Thursday, February 26 The Towers Narragansett Chamber Narragansett Spring Restaurant Week Taste of Narragansett 8:00pm 35 Ocean Rd., Narragansett

Wednesday, February 25 Sears Hometown Store North Kingstown Chamber Business After Hours 5:30pm-7:30pm 6555 Post Rd., North Kingstown Thursday, February 26 Smithfield High School – Academy of Finance Business Before Breakfast 8:00am-9:30am 90 Pleasant View Ave., Smithfield

FEB

Friday, February 27 Aldrich Mansion Central RI Chamber LEADS Luncheon 12:00pm-1:30pm 836 Warwick Neck Ave., Warwick

contents

volume four issue two

INSIDE THIS ISSUE

6 Upcoming Events, Networking and Workshops

10 Small Business News 16 Secretary of State 17 Spotlight on Startups 18 Ready to Apply for a Business Loan? 20 SBA Rhode Island Participating Lenders 22 How to Set Your Prices 23 Starting Positions for Success 24 How to Name Your Startup 26 7 Tips to Help You Choose the Right Bank for Your Business

28 Top 2015 SEO Trends, Part Two 31 What to Do with Rollover Funds 32 Rhode Island Supreme Court Decision 35 How to Plan Your Donation Strategy 36 Take the Marketing Plunge 37 Business is Like Baseball – You Need a Financial Team

38 Buy or Lease? A Business Owner’s Dilemma 40 Investing Wisely in Your Child’s College Education 41 Venture Capital: Myths and Miracles 42 Rhode Island Real Estate News 44 Minority Business isn’t so Minor!

ON THE COVER

45 Who, What, When, Where, Why and How to Invest in Your Business 47 Supplying a Global Market from Our Backyard 48 How to Prepare for a Retirement Plan Distribution 50 Personnel Practices: Employee Handbook Essentials

volume four issue two

Featured

THE

BANKING, LENDING & INVESTING ISSUE

SBA Lending Checklist

Rhode Island SBA Lender Directory

Protecting your

Financial Future

52 Featured Nonprofit

Choosing the Right

54 Local Small Business Directory

Are you Investing in your Business

Small Business Bank

The Banking, Lending and Investing Issue

Non Profit SEED Corporation

52 www.risbj.com | volume four issue two

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SMALL BUSINESS

NEWS

Atrion Announces Merger WITH NEW JERSEY-BASED SISTER COMPANY

WARWICK, RI – Atrion Networking Corporation, a leading IT services firm, has announced its formal merger with New Jerseybased IT integrator Atrion Corporation. The two companies will operate under the name Atrion, Inc. moving forward. Atrion’s merger with the 18-person, $15 million IT integrator will allow the company to grow its top line revenue by 30 percent by the end of 2015, reinvest in its business to better serve its clients and introduce a series of new product lines, services and portfolio to help its clients better solve their ever-growing challenges. “For the past 18 months, we’ve been exploring many opportunities to grow our business, particularly in New Jersey, and today is the day that we move from exploring this idea to making it a reality,” Atrion CEO Tim Hebert said. “Since our inception, we have differentiated ourselves as a hightouch, high-impact organization that connects deeply with our customers,” Hebert added. “Our goal over the next five years is to get closer to our clients so we can maintain that contact level, particularly as our customer base grows. This merger allows us to cement our footprint in the mid-Atlantic region, continue to hone and nurture our client relationships, and widen our net when it

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comes to finding qualified employees so we can bring exceptional services, perspectives and experiences to our clients.” As part of the merger, Atrion will add more than 80 positions over the next 12 months, with almost 20 new hires slated for February. Atrion will continue to offer consultation, professional and managed services, and customized technology solutions. These capabilities will remain available across businesses-critical areas, including turnkey data center infrastructure, local and wide area networks, enterprise software and consulting, and cloud offerings. “We’ve had a close business relationship with Atrion Corporation for over 30 years and had a chance to witness firsthand their culture and their leadership—which are important to us,” Hebert added. “Given the synergies between our two companies, and the ability for us to collectively serve our clients better by combining forces, a merger was the right evolutionary next step.” Echoed Gary Hazard, President of Atrion Corporation: “We’re extremely excited to merge with Atrion Networking Corporation creating a powerful entity capable of delivering a comprehensive suite of IT service offerings to our valued clients.”

SMALL BUSINESS

NEWS

5th Consecutive Record-Breaking Year F O R

A U T O - I M P O R T S

A T

Q U O N S E T

QUONSET, RI – Governor Gina M. Raimondo announced today that the Port of Davisville at Quonset Business Park had its fifth consecutive record-breaking year for automobiles imported by ship in 2014. More than 178,000 automobiles were imported at the Port last year, with another 34,000 autos arriving by rail and 3,000 coming by truck. Vehicles arriving at the Port of Davisville are processed, finished and distributed across the country by North Atlantic Distribution, Inc. (NORAD), a long-time Quonset tenant. “This milestone is a tremendous example of the private sector working together with the state to make us a leader on the global stage,” Governor Raimondo said. “The priorities of my administration are to attract more entrepreneurs and to support our existing business, all while fostering innovation in government. The Port of Davisville has become one of North America’s leading auto importers because we’ve modernized its infrastructure and marketed our strengths and because NORAD has grown to more than 300 people since it began operations here more than 25 years ago.” Today’s figures reflect an increase of close to 5,000 more automobiles arriving, compared to the 2013 record-breaking numbers. The Port of Davisville has been one of the Top Ten auto importers in North America for the past several years. The Port is a key component of the Quonset Business Park, which is already considered one of the premiere business parks in New England and one of the largest in the Northeast. Quonset is now home to almost 200 companies, employing more than 10,000 people in full-time and part-time jobs across several industries. “We are thrilled to call the Port of Davisville NORAD’s home,” said Michael Miranda, president and CEO of NORAD. “The state and our federal leaders have done an incredible job in positioning the Port for more business, and we intend to capitalize on those efforts in the months and years ahead.” In 2014, the Port imported 178,215 autos, a 2.8 percent increase from 2013. The amount of cars imported is now more than five times the volume seen at the Port just 15 years ago. An additional 34,293 autos were brought to the Port to be finished by rail and 3,498 by truck.

generates approximately $42.6 million in household income, and contributes about $4 million in state taxes and $5 million in local taxes to Rhode Island’s economy.

The bustling Port is also home to businesses such as Seafreeze, Ltd., American Mussel Harvesters, RI Mooring Services, Mill Creek Marine, and others. An economic impact study recently found that the Port of Davisville supports more than 1,100 direct and indirect induced jobs. The Port also creates $119 million in business output annually for the state,

“We are thrilled to have reached another great milestone alongside NORAD and we believe there is much more growth still to come for Quonset and the companies at the Business Park,” said Steven J. King, PE, the managing director of the QDC. “We are dedicated to helping move Rhode Island forward and building on the momentum that we are seeing today.”

www.risbj.com | volume four issue two

SMALL BUSINESS

NEWS

Unemployment Rate Drop

PROVIDENCE, RI – The RI Department of Labor and Training announced that the state’s seasonally adjusted unemployment rate for December 2014 dropped to 6.8 percent, down three-tenths of a percentage point from the November 2014 rate and down two and a half percentage points from the December 2013 rate. This is the lowest unemployment rate since March 2008. The U.S. unemployment rate was 5.6 percent in December 2014, down two-tenths of a percentage point from the previous month and down one and one-tenth percentage points over the year. The number of unemployed RI residents—those residents classified as available for and actively seeking employment— was 37,300, down 2,000 from the November figure of 39,300. This represents the 17th consecutive over-the-month decrease and the lowest unemployment level since February 2008. Over the year, the number of unemployed dropped by 13,800.

the number of employed RI residents was up 16,200 from December 2013. The RI labor force totaled 552,600 in December 2014, down 700 from November 2014 but up 2,500 from December 2013. JOBS BASED IN RHODE ISLAND: Estimated nonfarm payroll in Rhode Island totaled 478,900 in December, reflecting a loss of 100 jobs from the revised November estimate of 479,000. In all, 7,700 jobs were added in Rhode Island in 2014, the largest annual gain since 2000 when 9,500 jobs were added to the economy. The Professional and Business Services sector lost 1,100 jobs in December, negating the addition of 1,000 jobs reported in November. The loss is attributed to reported declines among companies offering administrative and waste services.

A total of 11,851 individuals collected Unemployment Insurance (UI) benefits in December 2014,* down from 13,325 a year ago. This month, UI claimants accounted for 35.7 percent of the total unemployed.

Local retailers withheld from adding employment to their payrolls in December, leading to a decrease of 400 jobs in the Retail Trade sector. In addition, job declines were also noted in Health Care & Social Assistance (-200), Government (-100), Financial Activities (-100) and Arts, Entertainment & Recreation (-100).

The number of employed RI residents was 515,300, up 1,200 from the November figure of 514,100. Over the year,

Accommodation & Food Services employment continued to rise in December, adding 600 jobs over the month. Employment within

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SMALL BUSINESS

NEWS

ps to 6.8 Percent in 2014

RHODE ISLAND JOBS UP 7,700 IN 2014 this sector has increased in four of the last five months resulting in a gain of 1,900 jobs since July.

down over the year. Employment in Mining & Logging remained unchanged since December 2013.

A gain of 400 jobs was reported in the Manufacturing sector stemming from a boost in the non-durable goods component. Employment in the state’s Manufacturing sector has increased in six of the last eight months.

MANUFACTURING: In December 2014, production workers in the Manufacturing sector earned $18.08 per hour, down 14 cents from November 2014 and down one-dollar and twenty-cents from December 2013. Manufacturing production employees worked an average of 41.3 hours per week in December, up an hour and seven-tenths over the month but down three-tenths of an hour from a year ago.

The Other Services sector also added 400 jobs over the month with smaller gains reported in Educational Services (+300), Construction (+100) and Transportation & Utilities (+100). Employment in the Wholesale Trade, Information and Mining & Logging sectors remained unchanged over the month. As mentioned earlier, total nonfarm employment increased by 7,700 over the year, as job gains appeared in ten economic sectors, including Educational Services (+1,800), Accommodation & Food Services (+1,300), Manufacturing (+1,100), Financial Activities (+1,000), Construction (+900), Other Services (+800), Professional & Business Services (+700), Transportation & Utilities (+500), Health Care & Social Assistance (+400) and Arts, Entertainment & Recreation (+100). Employment in four sectors — Retail Trade (-400), Government (-300), Wholesale Trade (-100) and Information (-100) — was

METHODOLOGY: The unemployment figures are based largely on a survey of households in Rhode Island and measure the unemployment status of people who live in the state. Unemployment rates prior to 1976 are not recognized by the U.S. Bureau of Labor Statistics as official since the methodology used at that time is not comparable to today’s methods. The establishment employment figures are derived from a survey of businesses in Rhode Island and measure the number of jobs in the state. Rhode Island labor market information is available at www.dlt.ri.gov/lmi. Additional information on procedures for producing Current Employment Statistics (CES) estimates is available on the BLS web site at http://www.bls.gov/sae/cesprocs. htm. The January 2015 labor force figures are scheduled to be released on Thursday, March 12, 2015, at 2:00 p.m. www.risbj.com | volume four issue two

SMALL BUSINESS

NEWS

Gem Cares Holiday Donation MATCH CAMPAIGN HELPS RAISE MORE THAN $24,000 FOR MCAULEY HOUSE, BUILD STABLE OF NEW DONORS

PROVIDENCE, RI – During a time of year when the need for its services grows, McAuley House, a meal site of McAuley Ministries, was the beneficiary of a campaign aimed at increasing donations while helping to build a foundation of future support. Thanks to Gem Plumbing & Heating and its Gem Cares 12 Days of Christmas Campaign, all donations to McAuley House from new donors were matched, up to a total of $6,000, between November 15 and December 31. In total, the program engaged nearly 100 new donors with McAuley House, who generously responded to the matching gift opportunity with donations of $18,860. Combined with the Gem Cares 12 Days of Christmas match, McAuley House received $24,860. “We could not be more grateful to Gem Plumbing & Heating and the entire Gemma family for giving us this incredible opportunity, and for the community’s generous response,” said Don Wolfe, Executive Director of McAuley Ministries. “The donations we received not only allowed us to meet the increased need during the holidays, but also provide a foundation of new donors to support our work throughout the entire year.” One of Providence’s largest meal sites and a house of hospitality, McAuley House’s meal program has grown to serve 1,500 meals each week. Along with serving lunch, the organization helps

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people escape the cold to enjoy breakfast and a hot cup of coffee, and to receive a daily bagged supper to tide them over through the nighttime hours. Donations to the Gem Cares 12 Days of Christmas Campaign also helped McAuley House meet the widerange of needs they see among their clients, including winter clothing, toiletries, diapers and formula, clothing for job interviews, and holiday gifts for children. “The work of McAuley House fills a critical need in our community by helping those going through difficult times and providing hope for a better future,” said Larry Gemma. “Food is the most basic of all needs that we share; no one should ever have to wonder where their next meal will come from—we’re so pleased at the results of this campaign and for having an opportunity to do our part to help.” About McAuley Ministries McAuley Ministries is an independent non-profit organization located in Providence, Rhode Island and sponsored by the Sisters of Mercy Northeast Community; rooted in the ideals of its founder, Catherine McAuley. The ministry provides the basic needs of food, clothing, shelter, emotional support and guidance to the most vulnerable in its community through the core values of hospitality, compassion and dignity. For more information, please visit www.McAuleyRI.org.

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SECRETARY OF STATE | Nellie M. Gorbea

K I

G ov ern m en t Work

for

by Secretary Of State Nellie M. Gorbea

As your Secretary of State, it is my priority to help Rhode Island businesses thrive by making government more accessible and easy to navigate. I believe that government can and must be effective, transparent and accountable to the people it serves in order to succeed. I also believe that Rhode Island has all the talent and resources necessary to achieve greatness and move forward. These principles guide my vision of a government that not only works for but also involves everyone: a government that creates opportunities, instills confidence and invites active participation. Here in Rhode Island, small businesses and entrepreneurs are the backbone of our economy. If we are to move Rhode Island forward, our state government must do everything possible to make it easy for businesses to start and thrive. This begins at our Business Services Division, which helps businesses comply with various statutory obligations from the time the business is formed, during its existence, and

If we are to move Rhode Island forward, our state government must do everything possible to make it easy for businesses to start and thrive. 16

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You

through any eventual dissolution. It also provides certificates of entities’ registration and authorization to do business in Rhode Island and serves as the state repository for financing statements regarding security interests. Finally, the division also processes notary applications and issues apostilles and authentications of official documents. Many of these services can be accessed online at sos.ri.gov.

The Rhode Island Department of State is a central hub that connects, informs and empowers Rhode Islanders in many different ways. Our primary asset is information, which should be readily available to everyone in an accessible and easyto-navigate format. We are working on developing innovative open-source IT solutions that will accomplish this, helping you leverage this information to your advantage as well. Currently, businesses are required to fill out multiple forms at a number of different state departments and agencies in order to operate in Rhode Island. This process can often be confusing and lengthy. One of the first points of contact for any new business in Rhode Island is our Business Services Division, which offers an online “First Stop Business Information Center” that is helpful in navigating this process. However, we can do more. By streamlining this process and ensuring greater integration across agencies and platforms, we are going to make it easier for you to interact with government and then get back to what you do best: running your business and contributing to Rhode Island’s economic growth. I look forward to working closely with Governor Raimondo and General Assembly leadership in making government work for you. I also look forward to hearing from you directly. Please feel free to contact me with any thoughts or suggestions at secretarygorbea@sos.ri.gov, or visit our website at sos.ri.gov.

Spotlight | STARTUPS

Spotlight on Startups Direct Doctors, Inc.

Parthena Perry designs Company Name: Parthena Perry Designs Open Date: 12/15/2013 Employees: One Address: 91 Drowne Street, Cranston Website: www.parthenaperry.com Facebook: ParthenaPerryDesigns Twitter: @parthenaperry

Company Name: Direct Doctors, Inc. Open Date: 8/4/2014 Employees: One Address: 320 Phillips St., STE 203, North Kingstown Website: www.directdoctors.org Facebook: DirectDoctorsWickford Twitter: @directdoctors Biggest Challenge: The biggest challenge in starting my family practice has been breaking through to patients and community members to clarify their understanding of what I am doing and why it is so much better than what they’re used to. I am flipping the system upside down and putting the focus on patients’ needs rather than insurance dictates. Profile: I started an alternative style of primary care practice to come up with an answer to the frustrations of many patients I encountered: long wait times, not being able to see or get ahold of their doctor, and short visits that don’t fit their schedule. I, too, was frustrated as a doctor rushing through visits and checking my watch. In my practice, patients have my cell/email and can reach me 24/7. I offer same-day visits always, longer appointments, a better doctor-patient relationship, home visits, and access to the doctor—which most people can’t even believe is true—by opting out of the traditional insurance model. So, instead of paying me a copay and getting a confusing bill for co-insurance, patients pay an AFFORDABLE direct monthly subscription fee. This keeps my panel of patients smaller so I can give all of my patients the time, energy, and attention they deserve.

Biggest Challenge: The biggest challenge was the voices in my head. No, I am not crazy. After years in the jewelry industry, I was programmed in mass production. Switching to handmade and my own aesthetic was huge and hard. I had to question everything. Instead of layers of decision makers, there was only the customer and me. I had to listen to my own voice. As I did, it showed in my work and the customers approved. Profile: I am Tracey Lawrence, Owner and Designer of Parthena Perry designs. In my 20-year career, I have designed for major department stores, well-known specialty stores, and the occasional celebrity. Last year, after many years of dreaming and a few years of planning, I launched my own line. Not only do I design the line, but I hand-make all the pieces as well. It is a dream come true! I am inspired to make jewelry that combines spirituality, a love of nature and symbols into pieces that are wearable every day. I am creating jewelry with rich meaning and interesting materials that will reconnect the customer to a deeper spiritually. Parthena Perry designs are made from precious metal silver clay, sterling bronze, vintage and recycled chain with semiprecious stones. Many of the pieces are one-of-a-kind and all the pieces are unique because they are handmade.

www.risbj.com | volume four issue two

SBA

Rhode Island

Ready to Apply for a Business Loan

RISBJ | rhode island small business journal

Ready to Apply for a Business Loan? | SMALL BUSINESS

Of course you think your idea will be successful, so it’s only human to look for information that reinforces the belief you want to have when doing your research. Securing financing for your business start-up or expansion can be a time-consuming, frustrating process. However, there are several things you can do before filling out an application to expedite the process: HAVE A GOOD BUSINESS PLAN – There is an art to being thorough and concise at the same time. A good business plan will outline the business, the industry, the competitive landscape, and the business’ unique market differentiator. Additionally, the plan will demonstrate the ability to repay the debt requested. Be sure to illustrate how borrowing money will allow you to become more profitable. EXECUTIVE SUMMARY – The most effective business plans begin with a one-page executive summary outlining your business, your reason for borrowing money, the amount requested, and how you intend to repay it. This gives the loan officer a broad overview of your organization before getting down to the nitty-gritty of the proposal. This is the first thing a loan officer will look at. CONVEY YOUR BORROWING NEEDS – In your business plan, be clear on how much money you are asking for, and exactly what you will do with the proceeds. Lenders need to determine collateral coverage and evaluate the risk of the proposal. In order to do that, they need to know how each dollar they are loaning is being used. When a loan officer asks, “How much money would you like to borrow?”, the worst possible answer is, “How much can I get?” REALISTIC FINANCIAL PROJECTIONS – A critical element of any good business plan is the financial projections. Borrowers need to implement the strategy of utilizing the loan proceeds not only verbally, but numerically as well. Incorporate the debt and expected revenue into your forecasted Balance Sheet, Income Statement, and Statement of Cash Flows. These statements need to be broken down monthly for three years. Be realistic. Of course you think your idea will be successful, so it’s only human to look for information that reinforces the belief you want to have when doing your research. You will need to justify why you believe sales will increase at the rate you are forecasting, and if forecasted expenses are lower than current ones, a lender will scrutinize and potentially ‘re-adjust’ your forecast. To be on the safe side, estimate low sales and high expenses and make sure the forecast is still profitable. If you get assistance preparing these, be sure you can explain them to your lending institution. This is the second thing a loan officer will look at (even though it’s at the back of your business plan). PROVIDE TAX RETURNS – Existing businesses will need to provide their lender with three year’s tax returns (less if the business has not been open for three years). The bank will

use these returns, in part, to determine the borrower’s ability to repay the debt being applied for. So, if your returns do not indicate profitability, you will need to make a strong case that the debt you are seeking will allow your organization to generate enough profit to repay the loan and be financially solvent. CHECK CREDIT REPORT – Obtain your credit report from one of the many free services available and review to make sure all items belong to you. If not, contact the credit agencies and begin the process of clearing it up. If you have any delinquent accounts, try to bring them current before applying for a loan. Tax liens, unpaid/delinquent child support and student loans make it very difficult to obtain new financing. Other concerns on your credit report may be explainable, and something that a lender can work with. Be sure to discuss them with your loan officer. If you don’t, your lender is left to draw his or her own conclusions, which will likely be less favorable than your explanation. Cleaning up your credit report may take time, and it might mean putting your request for financing on hold. If so, set a budget and timeline to get your finances back on track before applying for a loan. BE PREPARED TO CONTRIBUTE – Banks want to see that you have some of your own resources invested in the project. If you don’t have any resources to contribute, consult a loan officer to find out how much you will need. Then you can save the required money and apply at a later date. That said, starting a business without any reserve is a recipe for failure, so be sure not to deplete your liquid resources entirely. Don’t worry, lenders won’t want you to start a business without reserve funds either. FULLY COMPLETE THE APPLICATION – Banks will not process a loan application unless it is completed. Borrowers are naturally anxious for an approval, and can easily become frustrated when the process slows down. However, in some cases, the slowdown is the borrower’s fault, as they have not provided all of the required information. Preparing all of this can be a daunting task, particularly if you do not have any experience in doing so. Hence, the SBA has resource partners that provide no-cost, confidential business counseling. They can help you put forward the best possible proposal, thus maximizing your chances of an approval. To learn more, please contact one of our resource partners listed below: SCORE www.RI.SCORE.org | (401) 528-4561 CENTER FOR WOMEN & ENTERPRISE www.CWEOnline.org | (401) 277-0800 RI SMALL BUSINESS DEVELOPMENT CENTER www.RISBDC.org | (401) 874-7232 www.risbj.com | volume four issue two

SBA

Rhode Island

SBA Rhode Island Participating Lenders Bank of America PLP/EXP

Centreville Bank EXP/EE

First Trade Union Bank PLP/EXP/EWCP

111 Westminster Street Providence, RI 02903 Kevin P. Tracy, Senior Vice President (401) 278-5520 Kevin.P.Tracy@baml.com

1218 Main Street W. Warwick, RI 02893 Karen Flynn, SVP Lending (401) 821-9100 Ext. 5244 KFlynn@CentrevilleBank.com

1 Harbor Street, Suite 201 Boston, MA 02210 Anina Butler, Vice President (617) 728-7320 AButler@FTUB.com

BankNewport EXP/EE

Citizens Bank PLP/EXP/EE

Freedom National Bank PLP/EXP/EE

500 West Main Road Middletown, RI 02842 Douglas Hanson, Vice President (401) 845-8731 Douglas.Hanson@BankNewport.com

One Citizens Plaza Providence, RI 02903 Gary Heidel, Director, SBA Program (401) 468-6127 Gary.Heidel@RBSCitizens.com

584 Putnam Pike Greenville, RI 02828 David Caruso, Vice President (401) 244-6655 DCaruso@FreedomNationalBank.com

Bank Rhode Island PLP/EXP/EWCP/EE

Coastway Community Bank

Greenwood Credit Union EXP

One Turks Head Place Providence, RI 02903 Manny Barrows, Senior Vice President (401) 574-1604 MBarrows@BankRI.com Scott Lajoie, Vice President (401) 574-1657 SLajoie@BankRI.com

PLP/EXP/EWCP/EE One Coastway Boulevard Warwick, RI 02886 Russell Gaston, Commercial Lending Manager (401) 330-1600 RGaston@Coastway.com

2669 Post Road Warwick, RI 02886 Holly Pettis, VP Commercial Lending (401) 562-2784 HPettis@GreenwoodCU.org

Bay Colony Development Corp. 504 1601 Trapelo Road Waltham, MA 02451 Mary Mansfield (781) 478-3655 MKMansfield@BayColony.org

Bristol County Savings Bank PLP/EXP 215 Armistice Boulevard Pawtucket, RI 02860 Joan Medeiros (508) 678-1862 Joan.Medeiros@BCSBmail.com Stephen M. Hardy (401) 722-8845 SMHardy@BCSBmail.com

Business Development Company EXP/EE 40 Westminster Street, Suite 702 Providence, RI 02903 Peter Dorsey, President (401) 351-3036 PDorsey@BDCRI.com

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Community Investment Corp. 504 2315 Whitney Avenue, Suite 2B Hamden, CT 06518 Gary Toole, RI Manager (203) 776-6172 x124 GToole@CTCIC.org

Coventry Credit Union EXP 2006 Nooseneck Hill Road Coventry, RI 02816 Claudia Flanagan, Director of Consumer Lending (401) 397-1900 x2314 CFlanagan@CoventryCU.org

Dexter Credit Union 934 Dexter Street Central Falls, RI 02863 David Angell, Chief Lending Officer (401) 724-6200 David.Angell@DexterCU.org

First Niagara Bank PLP/EXP/EWCP 225 Park Ave., 2nd Floor West Springfield, MA 01089 Gary M. Besser, Vice President (413) 747-1395 Gary.Besser@FMFG.com

Home Loan Investment Bank PLP/EXP/EE 1 Home Loan Plaza, Suite 3 Warwick, RI 02886 Daniel Murphy, Vice President (800) 223-1700 x435 DMurphy@HomeLoanBank.com

Independence Bank PLP/EXP/EWCP/EE 1370 South County Trail East Greenwich, RI 02818 Robert A. Catanzaro, President (401) 886-4600 RAC@Independence-Bank.com

Navigant Credit Union EXP/EWCP/EE 1005 Douglas Pike Smithfield, RI 02917 Jeffrey P. Cascione, Vice President (401) 233-4716 JCascione@NavigantCU.org

New England Certified Development Corp. 504 500 Edgewater Drive, Suite 555 Wakefield, MA 01880 Nancy Gibeau, Loan and Investment Officer (RI, MA) (508) 254-7891 or (401)450-0047 NGibeau@BDCNewEngland.com

SBA Rhode Island Participating Lenders | SMALL BUSINESS

Ocean State Business Development Authority 504 155 South Main Street, Suite 403 Providence, RI 02903 Henry Violet, President (401) 454-4630 BudV@OSBDA.com Antonio A. F. Moura, Vice President (401) 454-4560 AAFMoura@OSBDA.com

Pawtucket Credit Union EXP 1200 Central Avenue Pawtucket, RI 02861 Joseph Silva, Vice President Commercial Lending (401) 729-4092 Joseph.Silva@PCU.org

People’s Credit Union EXP 858 West Main Road Middletown, RI 02842 Peter Murray, Bus. Relationship Manager (401) 846-8930 Ext. 1273 PMurray@PeoplesCU.com

Rockland Trust PLP/EXP 288 Union Street Rockland, MA 02370 Michael Savage, Senior Vice President (781) 982-6546 Michael.Savage@RocklandTrust.com George Couto, VP Government Lending (781) 982-6768 George.Couto@RocklandTrust.com

Santander Bank PLP/EXP/EWCP/EE One Financial Plaza Providence, RI 02903 Stephen J. White, SBA Product Manager (617) 953-9135 SWhite@Santander.us

Savings Institute Bank & Trust 100 Bellevue Avenue P.O. 210 Newport, RI 02840 Timothy Burns (401) 608-1679 Timothy_Burns@BankSI.com Christina Feden (401) 608-1691 Christina_Feden@BankSI.com David Williamson (401) 608-1628 David_Williamson@BankSI.com

South Eastern Economic Development Corp. 504, Microloans 80 Dean Street, Taunton, MA 02780 (508) 822-1020 Maria Gooch-Smith, Executive Director MGoochSmith@SeedCorp.com Lisa Holmes, Commercial Loan Officer LHolmes@SeedCorp.com Tamarah Bacon, MicroLoan Manager TBacon@SeedCorp.com

TD Bank PLP/EXP/EWCP 180 Westminster Street Providence, RI 02903 David M. Ferreira Vice President Small Business Relationship Manager (401) 489-5620 David.Ferreira@TD.com

UPS Capital Business Credit PLP/EXP/EWCP 35 Glenlake Parkway, NE Atlanta, GA 30328 Jack Mello, Senior Policy Credit Officer (877) 263-8772 JMello@UPS.com

The Washington Trust Company PLP/EXP/EWCP/EE 23 Broad Street Westerly, RI 02891 Tom Quinlin, VP Retail Lending (401) 348-1301 TWQuinlin@WashTrust.com

Wave Federal Credit Union 480 Greenwich Avenue Warwick, RI 02886 David Duprere, Executive Vice President (401) 781-1020 David@WaveFCU.org

Webster Bank PLP/EXP/EE 100 Westminster Bldg., 50 Kennedy Plaza, Ste 1110 Providence, RI 02903 Anthony Capuano, Senior Vice President (401) 228-2042 ACapuano@WebsterBank.com Bob Polito, SVP Government Guaranteed Lending (860) 612-5433 RPolito@WebsterBank.com

Westerly Community Credit Union EXP/EE 122 Granite Street Westerly, RI 02891 Michael Lynch, Vice President, Lending (401) 596-7000 Ext. 2116 mlynch@westerlyccu.com Holly DePerry, Small Business Lending and Business Development (401) 637-4436 HDePerry@WesterlyCCU.com

For More Information Visit www.sba.gov/ri U. S. Small Business Administration Tel: 401-528-4561 Rhode Island District Office Fax: 401-528-4539 380 Westminster Street, Room 511 E-mail: providence.ri@sba.gov Providence, RI 02903-3246

504: SBA 504 Certified Development Company – Fixed rate loans for real estate and/ or M&E purchase or improvement EE: Export Express: Export Express streamlined financing up to $500,000 EXP: SBA Express Lender – Expedited loans up to $350,000 MicroLoans: $50,000 limit up to 5 years to repay with technical assistance PLP: Preferred Lender Program – 1-day turn around from SBA EWCP: Export Working Capital Program Lender – expedited loans up to $5,000,000 www.risbj.com | volume four issue two

SMALL BUSINESS | How To Set Your Prices

How to

Set Your

Prices chicken with its head cut off!). Once you determine the total number of hours you have available, figure out how many of those hours you’d like to set aside for working with clients. Remember, you will also need to reserve time for marketing, networking, content creation, client prep, administrative work, strategy planning, etc. So be realistic.

by Dana D’Orsi

When I begin to work with new clients, I often find that they’re undercharging for their services. Is this an issue for you? What process did you use to set your fees? Did you just pull a number out of the air that felt good to you? Or did you look around to see what others in your field were charging and then charge a similar amount, or even a little less? Here’s a step-bystep formula to follow to revisit your fee structure and ensure you’re earning what you should be. Step 1: Determine how much you need/want to make. The first step is to figure out your end game. What number are you shooting for? Do you know how much money you need to be making each month to cover all of your business and personal expenses? If not, add everything up. And I do mean EVERYTHING! (This step could take a while, but it’s a MUST-DO!) Once you have that number, compare it to what you’re earning. If you’re not already bringing in that amount, set your initial goal to hit that target. And if you are already covering all of your expenses, set a new income target that will stretch you, but still feel doable. BONUS TIP: If you are at the point where you’re already covering your expenses and now looking to grow beyond that, decide what you will use that additional money for. Will it allow you to invest more in your business, hire help, send your kids to private school, get a new car, upgrade your house, etc.? Giving personal meaning to that goal and getting some emotion behind it will help motivate you much more than just having a number to shoot for. Step 2: Decide how many hours you have available to work with clients. Getting clear on the number of hours you’re willing/able to devote to your business is critical because the idea is to grow your business so you can have the lifestyle and freedom you desire (and not be running around like a

RISBJ | rhode island small business journal

Step 3: Design your packages. Rather than working with clients on an hourly, ad hoc basis, I recommend packaging your services. I personally like to offer three package options at different price points, with different levels of personal access and support, to serve clients’ needs. This way there’s something for those who want a deluxe experience, those who might be stretching financially to afford working with you, and those who are somewhere in the middle. Calculate how much of your personal time will be required in each package to help your clients achieve their desired results. Step 4: Figure out how many clients you can comfortably serve at a time. Once you know how many hours you have available for client work (from Step 2) and how many hours it will take to help them get the results they are looking for (which you should have figured out in Step 3 when you designed your packages), you can use simple math to see how many clients you can serve at any given time. Step 5: Determine the VALUE that your clients will get from working with you. Clients invest in outcomes and results. What will they get from their experience from you? How will their lives be different? And what is that worth to them? Be sure to look at the broad spectrum of all the areas in their life that your work together could impact—their finances, health, self-esteem and confidence, personal relationships and future growth potential. Step 6: Set your fees. Again, this is simple math. Divide your target income (from Step 1) by the number of clients you can serve at a time (from Step 4). Then compare that number to the VALUE that your clients will get (from Step 5). Ideally, you want your clients to receive more in VALUE than they pay in FEES. You may have to go back and forth a bit on this one. If the initial fee number feels high to you, don’t immediately lower it. Instead focus on ADDING VALUE. Ask yourself, “What would I need to ADD to my programs and services to feel good about charging that fee?” Dana D’Orsi Business and Marketing Coach Dana D’Orsi International

Starting Positions For Success | SMALL BUSINESS

Starting Positions F O R

by Tim Sullivan

Ergonomics is the scientific study of people at work. Businesses of all sizes can benefit from lessons learned in ergonomics by utilizing some or many services offered by new local companies who are seeking to make their mark based on their knowledge of ergonomics. More businesses realize that changes to how their employees work throughout the day affects not only their productivity, but also helps improve workplace morale in direct proportion to their improvement in overall wellness. Innovation is the key to getting an employee population to engage in a healthier lifestyle. The key to finding a successful mix of wellness strategies is to try some of them out and see if they help a portion of the employee population improve their health. If an effort was made to subsidize gym memberships and 20% of the workforce used that to increase their exercise levels, that should be considered a success. At the same time, the employer needs to recognize that other things need to be tried to improve the wellness of the remaining 80%. Several local companies are using aspects of ergonomics as the basis for their businesses. Each seeks to improve employee productivity and wellness in different ways. Focal Upright Furniture in North Kingstown, RI (www. focaluprightfurniture.com) makes premium-quality office workstations and furniture that encourages employees to stand or lean at their desks throughout the day. The philosophy is based on solving a growing concern in the workplace that employees sit too much. Focal Upright founder, Martin Keen, says, “Humans evolved to be upright. Why did we even begin sitting for work in the first place? Why do we continue to impose this unhealthy posture on ourselves in our work environments, where we spend the bulk of our waking hours?”

S U C C E S S

I agree with Martin wholeheartedly on this subject. If a business has a workforce that spends a plurality of their workday sitting at a workstation, it would be worth their looking into investing in more standing workstations, like those available from Focal. Dr. Laurie McCabe, PhD (www.drmcbabe.com), who is from Massachusetts, has created a portable treadmill desk that seeks to solve the problem of people who want to work while exercising. This is especially true for “road warriors” who have to juggle travel, work and exercise while staying at hotels and motels. Her solution is a portable (patent pending) universal computer mount that attaches to the handrails of a treadmill and allows the user to be productive while engaging in a low-impact treadmill session; running on the treadmill while computing is not recommended. This solution is affordable and will definitely appeal to “road warriors,” or simply those who feel the need to multitask (productively) while exercising. ShapeUp.com, founded in Providence by Dr. Rajiv Kumar, is a unique wellness solution that uses social media to help the clients improve wellness. The ShapeUp premise is that giving employees a game-oriented platform from which teams of employees compete with other teams in arenas of diet, exercise and weight loss will help motivate the employee population to live healthier. ShapeUp does provide other wellness services, but the basis of their solution revolves around social media’s strong ability to affect the habits of a particular employee population. There are many other wellness providers locally and nationally that can help businesses improve the wellness of their employee populations; management just needs to determine which provider has the best services for your company’s employee population. Tim Sullivan Life-Panel www.well-track.com

businesses realize that changes to how their employees work throughout the day affects not only their productivity, but also helps improve workplace morale

www.risbj.com | volume four issue two

HOW

E YO

NAM

SMALL BUSINESS | How To Name Your Startup

Startup

RISBJ | rhode island small business journal

How To Name Your Startup | SMALL BUSINESS

New parents spend a very long time agonizing over what to name their child, and it’s no different for a business or a product. by Adam Harvey

“What’s in a name? That which we call a rose by any other name would smell as sweet.” – William Shakespeare These are words spoken by Juliet on the balcony, lamenting that her love for Romeo is forbidden because he bears the wrong name. Names are seemingly arbitrary, and yet in the end they mean everything. The name you choose for your startup or product can have a big impact on its success or failure, so it’s important to choose very carefully and avoid being star-crossed lovers with your customers.

THE BEST APPROACH

Naming things can seem like a daunting task. New parents spend a very long time agonizing over what to name their child, and it’s no different for a business or a product. For a startup, there’s a lot of pressure to find a name that ideally conveys what you do, how you do it and whom you do it for— all without being too literal or long. Not even organizations whose sole purpose is to name things don’t agree on what the best approach to choosing a name should be. Some insist that an abstract name is the way to go, while others disagree in preference of one that is more literal and informative. Some say that made up words are too forgettable and some say they make them more memorable. Big businesses spend a lot of money naming their products, but with limited funds, startups cannot afford to hire a company just to help get the right name. Really, any name can work as long as it’s backed by a great marketing strategy, but ideally it should be able to hold it’s own no matter what. The better the name, the less effort you have to put into explaining it.

WHERE TO START

Ask yourself what you’re trying to communicate. Is your target audience defined? Do you have a mission statement? These things can help you figure out what you want to convey.

LITERAL VS. ABSTRACT

Sometimes, a real word or combination of words is better than a word you make up. They are more relatable and can conjure up emotional associations that help people remember them better. Descriptive names are concrete and tell something specific about your startup. Think about The Cheesecake Factory. The name pretty much says it all.

On the other hand, a suggestive name that is more abstract can tell a story. Consider the name of the apparel website called Piperlime, for example. The words “piper” and “lime” build images that tell a story about the brand instead of describing it. Piperlime sounds light, fun and stylish and that’s what the brand is all about.

A FEW CURRENT NAMING TRENDS

Compound words like BodyGuardz, PhotoShop and TurboTax are everywhere these days! It’s a major trend and you can really get creative with them while still being able to pick out two words that represent your startup the best. •

Non-traditional spelling: Names like Kidz Kutz, Play Playce and Chick-fil-A all take advantage of creative spelling to bring in the “wow” factor. Websites like Tumblr, Flickr and Digg have used phonetics to give them a cool, edgy vibe.

•

Made up words: Making up your own word can be very successful if you do it well. It’s not easy to pull off, though, and if you flub it, people might not understand what you do, might not be able to remember your name or they might be turned off completely. If you hit it right and come up with something memorable and catchy, you’re golden.

•

Acronyms: Acronyms are an old school way of naming a business, but it’s a solid choice that has withstood the test of time with no sign of slowing down. Think of AT&T or WSJ. They’ve been around for ages and we all know what those acronyms stand for. Just make sure your acronym doesn’t accidentally spell any naughty words.

FINDING A URL

Funky spellings and compound or made up words have an advantage when it comes to securing a URL with your name in it. The more unique the name, the easier it will be to find a URL. More literal names may encounter some difficulty and threeletter acronyms will have the most trouble getting one. Whether you choose to go with a literal or abstract name, it should always reflect key elements of what you want to convey. Think carefully about your target audience and work from there. Whatever will resonate with them is what you’ll want to consider the most. Adam Harvey GLAD WORKS www.gladworks.com

www.risbj.com | volume four issue two

SMALL BUSINESS | 7 Tips To Help You Choose The Right Bank For Your Business

7 TIPS

To Help You Choose The Right Bank For Your Business

As small business owners, we’re always looking for good partners and resources to help our company grow. We carefully select our accountant, our lawyer and our financial planner, but how about where we keep our money? Selecting a bank to handle your small business’ financial needs is an important decision that requires careful consideration. Here are seven tips to help you choose the right bank for your business.

1. Know What You’re Looking For

Before you begin your search for the right bank for your business, be sure to know what you’re looking for and what your expectations are. Are you simply looking for a basic checking account to make deposits and withdraw funds? Are you looking for a bank that will extend a line of credit as your business grows? What are your customer service expectations? It’s important to view your bank as a partner in your business. Building a relationship with your bank is important for long-term financial success.

2. Compare Banks

Most banks differ in terms of their customer experience and product offerings. While larger banks might offer more products,

RISBJ | rhode island small business journal

smaller banks often offer more flexibility and commitment to the local community. “Smaller, regionally focused banks may be better because they know local market conditions,” notes The Wall Street Journal. “They often provide more one-on-one access to a loan officer and put more emphasis on a borrower’s character rather than just applying a credit-score model. And they can be more flexible during tough times, such as covering overdrawn accounts without imposing stiff penalties.”

3. Determine Accessibility

Banks differ in their strategy on branch locations. Years ago, location was crucial because we had to drive to our local branch to make a deposit, withdraw cash or apply for a loan. Now, technology has changed our banking experience. Be sure that your bank is keeping up with technology so you have the option to view your account information and statements online or on your mobile device. Also find out about mobile deposits, so you won’t need to go to the branch each time to make a deposit.

4. Investigate Fee Structures

We often see offers for opening a “FREE” account, but there

7 Tips To Help You Choose The Right Bank For Your Business | SMALL BUSINESS

are a variety of other fees we should be exploring such as ATM fees, statement fees and the cost for checks. Also look at how many transactions per month are included in our monthly fees to be sure we have the right plan for our business.

5. Ask Others About Their Banking Experience

Business owners in your professional network can share their experiences with various banks and help guide you in the right direction. Find out how satisfied they are with their bank’s services and its willingness to grant loans and provide valuable banking advice.

SBA loan, having a relationship with an SBA-sponsored bank may prove beneficial in the approval process.

7. Establish An Ongoing Relationship

After selecting a bank for your small business, be sure to build a relationship with a banker who understands your needs and your business. A good banker will identify ways to support your business and will become a useful resource as your business grows. Your banker can also help you forecast the types of banking services you’ll need down the road.

there are avariety of other fees we should be exploring such as ATM fees, statement fees and the cost for checks. 6. Find Out What Else They Offer

While we might initially be thinking of our checking account and lending services, it’s important to evaluate what else your bank can do to help your business grow. Do they offer merchant services for credit card processing? If so, how do their rates compare to others? Do they offer investment strategies to help you save for the future?

Also investigate whether a local bank qualifies as a Small Business If you 1decide to apply for an NAV-0544Administration RISBT Ad 7.25 lender. x 4.5 _Layout 1/22/15 5:13 PM Page 1

Final Thoughts

Choosing the right bank will prove to be an important decision in the growth of your small business. They will not only help with the day-to-day checking account operations, but will also help in gaining access to capital, and planning for the future. Once you have selected your bank, be sure to nurture that relationship, just as you would with your clients or other important resources and partners of your business.

For 100 years, we've been helping small businesses like yours on their journey. And we can’t wait to be by your side for the next 100. • Commercial Lines of Credit • Commercial Real Estate Loans • Equipment Financing • SBA Lending • Full Suite of Deposit Products Call Navigant Credit Union’s Commercial Lending Group at 401.233.4700, or visit navigantcu.org. Federally insured by the National Credit Union Administration

www.risbj.com | volume four issue two

SMALL BUSINESS | Top 2015 SEO Trends, Part Two

TOP 2015

Nail the basics before digging deeper into more advanced SEO techniques or social and content marketing. 28

RISBJ | rhode island small business journal

Top 2015 SEO Trends, Part Two | SMALL BUSINESS

TRENDS by Chris Sheehy

In my last article, I introduced you to six of our predicted SEO trends for 2015. Have you started putting together your SEO strategy since reading that article? If not, you need to get started. SEO is a valuable facet of business discovery, and will get your company on the map, literally and figuratively. Here are some more tips to get you started.

MOBILE OPTIMIZATION

Having viewers squint to view a website in the tiny screen of a cellphone or tablet isn’t going to work in 2015. Having a website that serves appropriately for each type of device (responsive) is nearly ubiquitous by today’s standards, and Google is recognizing sites who are responsive by marking them as being “Mobile-friendly” right within mobile searches. How quickly websites load is also an increasing (ranking) SEO element to focus on, especially for mobile viewing. Your mobile stats on Google Analytic can help you decide how eminent a mobile conversion is for your business.

NAP

In our experience, we find that nearly every business has errors in their business citation data, and the older the business, the more likely the data is corrupt. The data that matters most for local business marketing is their Name, Address, and (local) Phone number (NAP). Typical errors include business listings with old addresses and old phone numbers, call tracking numbers, contact information within an image, or inconsistent use of unit/suite numbers. Variations of a business name will also cause discrepancies in NAP. This is a foundational element of local marketing.

OLD SCHOOL IS NEW SCHOOL (AGAIN)

The basic elements of SEO never go out of style: optimization of META Title (ranking element) and META Description (conversion element), keyword targeting, correctly formatted contact page, using the footer for your global address, images having unique file names and alternate attributes, META robot usage, etc. These and more need to be addressed for each primary page of a website. There are over 200 signals on each page of a website that Google uses as a ranking factor. We see hundreds of

PART

TWO

businesses each year with great-looking websites and vibrant social media channels who struggle with online visibility because these SEO ranking factors were overlooked. Nail the basics before digging deeper into more advanced SEO techniques or social and content marketing.

PPC & SEO COMBINED STRATEGIES

Pay-Per-Click (PPC) advertising, like Google AdWords, Bing Ads, and Facebook Ads, was one of our most requested service offerings last year, and we were not alone—2014 was a banner year for the whole PPC industry. The success of PPC is largely dependent on three factors: 1. Keyword selection 2. Compelling copywriting 3. Synergy on the website landing page between 1&2. Managing PPC campaigns with knowledge of website SEO will continue to be a winning combination for business advertising in the upcoming year(s).

SCHEMA

A relative newcomer and nearly unknown tool for nonprofessionals is structured markup code most commonly referred to as its standard name of “Schema”. This universal code works for the major search engines and adds additional data in search engine language for things such as contact information, products, services, product reviews, and business review ratings (think Zagat reviews). This simple code was a powerhouse for local businesses in 2014 and will continue in importance in 2015.

SITEMAP

Think of a sitemap as a roadmap for your website. The XML sitemap is the universal suggestion by Google, so it is often considered the standard. Recently, Google mentioned the importance of having a different kind of sitemap called an RSS that varies in that it records more granular and frequently changed content on a website. Other types of sitemaps are video, image, mobile, and a list of URLs, each with its own purpose. Using the right sitemap is a great way of telling search engines which pages you want them to display, and which you don’t (like your login and policy pages). Chris Sheehy SEO Specialist

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great legal teams working for you

PLDW

PANNONE LOPES DEVEREAUX & WEST

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LLC

p l d w . c o m

by Ted Donnelly

At some point, many people with retirement or employer-sponsored investment accounts will be faced with the decision of what to do with rollover funds. This can happen when you change jobs and cash out a 401(k), or when you retire. In either case, it’s important to think through your options. Ideally, it’s best to choose a strategy that meets your retirement needs, minimizes the impact of taxes, and avoids penalties. Please note this is a general overview, and tax laws can be tricky, so be sure to

o E

W I T H

D O

o r

WHAT

What To Do With Rollover Funds | SMALL BUSINESS

talk to an accountant and/or tax attorney before making any financial decisions.

ROLL IT OVER.

One possible option is to directly roll your entire distribution into a new Individual Retirement Account (IRA) or an employer-sponsored 401(k). Either one would allow you to continue to defer taxes and enable you to continue building your retirement savings for the future.

LEAVE IT WHERE IT IS.

You may want to keep funds in your employer’s plan until you reach the plan’s retirement age, if that’s an option. This may be ideal if you want to take advantage of certain investment options or managed money services available in your existing plan. Your funds will remain tax-deferred and can later be moved to a new employer’s qualified plan or an IRA.

FUNDS TAKE THE TAXABLE DISTRIBUTION.

Depending on your situation, you may choose to withdraw the funds from your 401(k). Although you will have immediate access to your savings, there are a few things to consider when taking a lump-sum distribution. First, your money will no longer have the potential to grow tax-deferred. Second, it will be subject to ordinary state and federal income taxes. Additionally, if you are under age 59½, a 10% IRS penalty may apply. Please note: Rollovers must be completed no later than the 60th day after the day you receive the distribution. This educational, third-party article is provided as a courtesy by Ted Donnelly. Ted Donnelly Agent New York Life Insurance Agency

You may want to keep funds in your employer’s plan until you reach the plan’s retirement age, if that’s an option.

www.risbj.com | volume four issue two

SMALL BUSINESS | RI Supreme Court Decision Will Create Major Concerns For Some Commercial Lenders

Rhode Island Supre

W I LL C R E AT E M A J O R C O N C ER N S F by William F. Miller

The laws of virtually every state prohibit lenders from charging interest on loans in excess of the “usury rate” – the maximum interest rate permitted under the laws of the state. However, usury statutes vary greatly from state to state. Not only do the maximum interest rates vary, but some states exempt certain loans, some count origination and other fees in the calculation of interest, etc. As a result, simply stating an interest rate that, on its face, is less than the maximum rate permitted in a particular state is not always a guarantee that the rate is not usurious. As a result of the complexity and lack of uniformity of the various states’ usury statutes, it has become common practice for lenders to include so-called “usury savings clauses” in their promissory notes and loan agreements, even where the stated interest rate is well below the maximum interest rate provided by the usury statute. The need for such “savings clauses” is obvious: if a loan is deemed to be usurious, it is void and unenforceable.

NV ONE, LLC V. POTOMAC REALTY CAPITAL, LLC

Last year, the Rhode Island Supreme Court decided the case of NV One, LLC v. Potomac Realty Capital LLC (“NV One”). The case turned on the enforceability of a usury savings clause that, on its face, was both well drafted and typical of the clauses found in virtually all commercial loan documentation. However, in NV One, the Rhode Island Supreme Court held that the usury savings clause was unenforceable because it violated public policy. As a result, the $1.8 million commercial loan was found to be usurious and therefore void. Although a substantial portion of the loan had already been received by the borrower before it defaulted, the result of the decision is that none of the principal, accrued interest and any costs incurred under the loan documents will have to be repaid. The funds loaned by the lender, plus accrued interest and any costs of collection incurred by the lender are simply lost. As noted above, the usury savings provision of the NV One loan

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documents, based on historic practice and existing case law, was one in which most lenders would have taken comfort. It expressly stated (i) it was the intention of the parties to strictly conform to the usury laws in force during the term of the loan; (ii) the obligations of the borrower were expressly limited so that in no event would the borrower be obligated to pay interest in excess of the maximum amount permitted by law and (iii) in the event the borrower ever paid interest in excess of the maximum rate permitted by law, the excess payment would be applied to the outstanding principal of the loan or if the loan was fully paid, the amount would be refunded. Although the intent of the parties, as manifested in the usury saving language, seemed clear and unequivocal, the Rhode Island Supreme Court held it to be unenforceable as against public policy. Its rationale was that giving effect to the usury savings clause would place the burden of compliance squarely on the shoulders of borrowers, rather than on lenders, who are in the best position to ensure compliance with usury laws. Whether or not one agrees with the court’s reasoning, the practical implications are clear. First, lenders in Rhode Island will no longer be able to rely upon usury savings clauses. Lenders, particularly those doing business with borrowers in multiple states, will be well advised to review and remain current on the usury statutes in each state where they do business and tailor their loan documents to the laws of each state as needed. Further, the NV One decision is a warning shot for any lenders who are relying upon a usury savings clause as a safety valve for charging usurious interest (even unintentionally). Therefore, lenders should immediately review their portfolios and

RI Supreme Court Decision Will Create Major Concerns For Some Commercial Lenders | SMALL BUSINESS

eme Court Decision

FOR SOME COMMERCIAL LENDERS confirm that any loans subject to Rhode Island law are not incurring usurious interest rates. The second issue is more problematic. Because the NV One case held that the usury savings clause was unenforceable and therefore the loan was void, apparently all a lender can do with any loan to a RI borrower that may prove to be usurious is to hope for the best if the lender discovers that a performing loan is usurious. Asking the borrower to amend the loan documents could well prove to be an invitation for the borrower to check with its legal counsel and then simply stop making payments on the now void loan obligation. This decision may also have financial reporting implications (e.g., increasing their reserve for bad debts, etc.), even if the lender is not regulated. Finally, going forward, if the facts and circumstances permit, lenders should strongly consider choosing another stateâ&#x20AC;&#x2122;s law now that the NV One decision has eliminated usury savings clauses as a measure of protection from usury. In any event, lenders who have made loans subject to Rhode Island law or to Rhode Island borrowers with interest rates that may, under any circumstances, exceed the RI usury rate (21%) should consult their legal counsel to discuss how best to proceed.

the NV One decision is a warning shot for any lenders who are relying upon a usury savings clause as a safety valve for charging usurious interest (even unintentionally)

William F. Miller, Esq., Partner Pannone Lopes Devereaux & West LLC

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How to Plan Your Donation Strategy | SMALL BUSINESS

H ow

Plan

n o i t a n o D r u Yo

Strategy by Jordan Becker

Take a deep breath; the holidays are over. One of the many things that means is that it will probably be a good ten months before people really start hitting you up for donations again in earnest. It is a difficult situation. Small business owners are constantly asked to donate time, money, and product. When do you say no? How do you say no? How do you deal with the inevitable guilt about saying no? BE PROACTIVE INSTEAD OF REACTIVE. It’s a new year, so it’s a perfect time to get things in order. Decide how much you want to spend on charity this year (if any), decide when and where you want to spend it, and hold firm to those numbers. If you know how much money or product you are going to donate, and to whom, it’s a lot easier to say, “I’m sorry, we donate to X, Y, and Z every year because those are organizations we feel very strongly about,” when someone comes looking for something. If it’s not in the budget, it’s not in the budget. KEEP IT LOCAL. People who call in search of donations will respect a quick shutdown because you “keep donations within the community,” and locals hitting you up for money for larger organizations will probably recognize the name of the local charity you support and be on their way a lot quicker. Keeping donations local goes a lot further for your advertising, too. Of course it’s great to do things out of the kindness of your heart, but this is business. Make sure you are getting some visibility in return for your gift.

TAKE CONTROL OF YOUR OWN DESTINY. Start a program with your business or join up with an existing program that performs charity work in your community. The rewards are many-fold. The program itself will gain you some goodwill. Eventually people will come to recognize that your business and the charity/organization go hand in hand; it’s a built-in excuse (“I’m sorry, everything we donate goes into X program. Have you heard about it?”). Lastly, you can do it on your own terms. By starting or picking a program that is a good fit for your business (dollar-wise or product-wise), you are actually maximizing the contribution you can make. A lumberyard donating to cancer research might be able to donate $100 a year. A lumberyard donating to an organization that helps build or rebuild houses can donate $100 worth of product a year. Same write-off, huge difference in impact. Once again, the marketing goes a lot further as well. People who help rebuild homes in your community are a lot more likely to buy lumber from you than a clerk depositing checks in a different state. By taking some time to plan, you might be able to kill many birds with one stone, and end up making a donation that goes a heck of a lot further than a last-minute, guilt-ridden “yes” on the phone to some organization you’re vaguely familiar with and have no vested interest in. Remember: give wisely, give on your own terms, and just because it’s for charity, it doesn’t mean you can’t benefit from it as well. Jordan Becker Owner Pier Pizza

www.risbj.com | volume four issue two

SMALL BUSINESS | Take The Marketing Plunge: Three To-Do Items For Quarter One

Take the

Three To-Do Items for Quarter One by Carolyn Lavin

Whether you are an emerging or established business, the new year is the perfect time to take the plunge and check off those leftover to-do items on your marketing and business development list. Even a modest undertaking of your time and talents in the first quarter of the year will reap benefits that last all year long. When it comes to procrastinating about marketing in the business-to-business space, the three most frequently deferred action items include learning and leveraging LinkedIn, updating web accomplishments with new services and accolades, and communicating with clients and customers.

1. Learn about LinkedIn

While the concept of social media may be as daunting as the big chill of a polar plunge, your greatest ah-ha moment of the new year might be learning to leverage the benefits of LinkedIn. You may seek to build relationships, cross-sell services, or remain top-of-mind. Most savvy professionals I know wish they had tried LinkedIn sooner because it is really not as utterly complicated or exceedingly time-intensive as they imagined. It’s all about figuring out what you want to get from LinkedIn,

Many skilled professionals go into bioupdate-shock, feeling overwhelmed with how to add their latest and greatest feats in a not-too-boastful manner. 36

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using a savvy and sensible approach, and finding synergy in a way that brings something to the table for all involved.

2. Update your web accomplishments

You know your credentials are critical to business development. As companies and the world around us evolve, your key selling points often change; obviously, it is important to reflect your strengths in your web presence. Many skilled professionals go into bio-update-shock, feeling overwhelmed with how to add their latest and greatest feats in a not-too-boastful manner. Sometimes, all it takes is a quick rewrite of some home page or bio text. The trick is to be concise with your approach and write with a reader-friendly tone and flavor.

3. Communicate with customers and clients

Your clients, customers, referral sources and friends want to hear from you...at least occasionally. Whether you use a cost-effective e-mail vendor such as Constant Contact or send traditional mail via postcards or letters, communication raises your visibility and generates awareness. You may create a new year “look-back” letter recapping your business’ exciting growth and benefits for your customers, or an e-announcement of compelling changes in the industry that provide value-add for your target audience for the year ahead. As long as it is easy to read, free from jargon and not too self-serving, a first quarter communication with your clients and customers is a powerful way to launch your year. So while the weather outside is frightful, take the marketing plunge to invest in your business reputation and your client relationships. Carolyn Lavin President Lavin Marketing Communications

Business is like Baseball Business Is Like Baseball: You Need A Financial Team | SMALL BUSINESS

by Stephanie Robl

I know what you’re thinking: “what’s a financial team and why do I need one?” Your financial team is a group of professionals you have hired to: 1. Develop relationships so they can work well together 2. Unite for YOU and your greater good 3. Utilize strategies that don’t compete Think of your business like a baseball team: you need an infield and an outfield. Infielders are involved in the game on almost every play (weekly or even daily for you). Outfielders are there when you need them, waiting for a “pop fly” inquiry, or to catch a strange situation. Your financial team is customizable: your line-up depends on your business and its needs. We suggest activating the following players to your major league team for all-star financial management. BOOKKEEPER: Bookkeepers handle the financial operations of your company, providing services that range from accounting software setup/management to consulting to fullcharge bookkeeping. BANKER: A banker on your team keeps you advised of changes in your account, as well as upcoming promotions so you can manage your loans, accounts, and credit. FINANCIAL ADVISOR: A financial advisor will help you manage your finances, as well as plan for the future with retirement, college planning, and investments. ACCOUNTANT/TAX PREPARER/CPA: Bookkeepers prepare tax documents and reports; they are not tax preparers. If you have a bookkeeper on your team, you’ll also need a CPA to file your taxes.

INSURANCE AGENCY: Your insurance agency is the crisisprevention member of your financial team. When you involve them in decisions, they can advise you on protecting yourself with adequate insurance coverage. REAL ESTATE AGENT: Knowing the ins and outs of buying, selling, and renting properties is an essential skill on your financial team, especially if you’re planning to invest in real estate. Make sure you have an agent you trust. LAWYER: Your attorney can advise you of the legal implications of your financial decisions, as well as help you put measures in place when you need legal protection for income or property. You likely already have a few of these team members in your life. But are they working together for you? Have you harnessed the power of these professionals, with their knowledge and experience? Or are you continually getting conflicting advice, and feeling confused and frustrated when a big financial decision comes your way? Start with a review of the financial professionals you currently deal with, and ask yourself these questions: 1. Do I trust this person? 2. Do I feel comfortable asking this person questions and getting solid answers? 3. Does this person provide me with the service and results I deserve? If the answer to these questions is “yes,” then this person will be a good recruit for your team. If the answer is “no,” it may be time for a conversation or a cut. Building this team will be a big step toward growth for your business and personal finances. The new year is a great time to do it…get started today! Stephanie Robl Owner of Ten Key, Inc. www.tenkeyinc.com

www.risbj.com | volume four issue two

SMALL BUSINESS | Buy Or Lease? A Business Owner’s Dilemma

Buy or leasE? A

u s i n e s s

w n e r

by Derek Amey

One of my friends is a successful small business woman. She’s struggling with a big decision and one that many small business owners face at some point, “Should I continue to lease or look to buy my building?” It is a big challenge for business owners, and many struggle to determine the correct course of action. Conversely, leasing does create business risk that needs to be considered, especially as your business matures. Location and Portability Depending on your type of business, your building and its location may not matter. My friend’s business is very retail-oriented. While the business is relatively young, its home has been in the same location for quite some time. Her clients have grown accustomed to the location, and she’s spent time and money upgrading the facilities even though she only rents the space. While it’s difficult to quantify, I personally believe the space she occupies is part of her corporate brand, and moving could potentially affect the success of her business. My friend’s business requires a large amount of space, so if she was forced to relocate, she may find it challenging to find a space suitable. Determining how portable your business is and identifying how much your current location factors in to your overall sales is important and something you need to consider when deciding whether buying or continuing to lease is right for you. As we spoke, it became clear to us that she could potentially be forced to move in the near future because the building owner had approached her about selling it. There is some concern that if she passes on the opportunity, the current owners would seek other buyers, and then where does her business fit into the dialogue? Her lease expires next year and she worries that the new owners may force her out. She felt herself leaning towards buying. Financing and Titling One must consider which entity

’

i l e m m a

is buying the building and how to finance it. My friend’s landlord offered to do seller financing, whereby the building legally changes hands and the previous landlord acts like the bank. Financing a purchase this way gives my friend a tremendous amount of flexibility on how to structure the purchase. The owner insinuated that he wouldn’t require the traditional down payment, which made the purchase more attractive. Saving enough capital to finance the purchase of a building can be difficult, if not impossible, especially for growing businesses. The downside to a deal like this is that the interest rate may be higher than it would with traditional financing. With respect to who purchases the building, there are a few different options. In some cases, the business owner buys the building personally and then leases the space back to their business. Other times an LLC is formed, which then purchases the building. Before making your final decision on how to handle this transaction, I highly recommend speaking with your CPA and lawyer since the costs, tax consequences and liabilities vary between each option. Impact on Personal Goals Finally, our conversation turned to how the purchase of this building will affect her personal financial goals. With the help of her financial advisor, she has been developing a retirement plan and an exit strategy for many years. Purchasing the building was a major commitment that needed to be analyzed and plugged into her current financial plan. When she first started out, her business was her only retirement “plan.” This is not unusual for small business owners, but as her business grew she realized the need for a diversified portfolio to complement the value of her business. I impressed upon her the importance of committing to saving for retirement and not letting this purchase derail those plans. If you work with an advisor, or if you never have, I encourage you to do so prior to the decision, even if it may feel like it’s only a business decision. The reality is that the purchase of a building for your business will impact your personal and family finances. Derek Amey Managing Director and Portfolio Manager, StrategicPoint Investment Advisors

The information contained in this post is not intended as investment, tax or legal advice. StrategicPoint Investment Advisors assumes no responsibility for any action or inaction resulting from the contents herein. Derek’s opinions and comments expressed on this site are his own and may not accurately reflect those of the firm.

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SMALL BUSINESS | Apply Your Business Planning Skills To Investing Wisely In Your Child’s College Education

Apply Your Business Planning Skills to Investing Wisely in

Your Child’s College Education by Dr. Ronald G. Shapiro

It is that time of year when students are planning what they will do after graduating from high school and college, preparing to further their education or enter the workforce. Other students are beginning eleventh grade, starting to plan for college. Many are anticipating college in just a year or two. Some may be planning a road trip to look at colleges and universities. All too many of these individuals are progressing without a plan. As small business owners, managers and leaders, you know that having a plan is one way to increase your opportunities for success. The focus of this article is to help you apply your planning skills from developing and advancing your business to investing wisely in your child’s college education (or making any other major investment ranging from a home to a washing machine). FIRST, have all interested parties write down their major objectives in making the investment. Strongly encourage everyone to be completely honest. Don’t try to please other people in responding. Simply write down your objectives and prioritize them. Also, have each person write down how important the objective is to them and how much money it is worth to them and who should pay for them. SECOND, discuss these objectives and come up with a single prioritized list combining all of the individual lists. In the case of college, be sure Mom, Dad and teenager leave the emotion out of the discussion. Just be practical. THIRD, figure out what type of product you need to purchase to fulfill your objectives. In the case of colleges, is a private, research-oriented university the best decision? Is a local community college equally as good (if not better) at a fraction of the cost? Is a prestigious

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brand name necessary to fulfill your objectives or can you achieve the same results with an equally good product and a less prestigious brand name? FOURTH, determine the cost of the product, how much payments will be, how long it will take to pay for it. Be sure everyone involved understands the cost and payment requirements. Determine if the product is worth the cost. If so, terrific! If not, perhaps consider whether a less expensive product could meet most of your needs. FIFTH, do your homework about available products on the internet. Speak with satisfied and dissatisfied customers. SIXTH, go look at the product while it is in use if possible. If you are looking at buying an all-terrain vehicle, no point in test driving it on a newly paved road in perfect weather conditions. Similarly, there is little point in looking at colleges and universities during the summer session when most students are away, and many members of the faculty are doing field research or are otherwise away from campus. The campus will look its best with great grooming and cleanliness and you will meet with admissions people who have handpicked students who will tell you about their school. Visit schools during the school year while school is in session. Depending upon your objectives, meet with the people most important to helping you fulfill the objectives list. Apply your great business planning skills to making your big investments. In the long run, you’ll probably make a better investment. I would like to thank Industrial Consultant Dr. Margarita Posada Cossuto for helpful comments.

Dr. Ronald G. Shapiro Independent Consultant in Human Factors Learning & Human Resources

Venture Capital: Myths and Miracles | SMALL BUSINESS

Venture Capital: Myths and Miracles by Melissa Withers

Venture capital investment. It’s the gold standard for measuring startup success. Well, at least in the popular press and in big startup ecosystems, where “who funded you?” and “how big was your last round?” are ice-breaker questions. Is the startup community’s obsession with venture funding healthy? Is it what aspiring founders should focus on? Probably not, though as someone who has guided dozens of companies toward the VC end zone, it feels like heresy to say so. Some stats: A high school footballer has a better chance of going pro than a startup does getting VC-funded. Why? Because the amount of VC dollars, and the number of deals made each year, has not significantly increased in the last decade. Despite this thin sliver of opportunity, the startup industry—accelerators, investors, and the media—focuses almost exclusively on models that aim all companies toward a VC exit. As a consequence, an expanding number of viable startups are threaded through a narrow needle that shows no signs of widening. While there are thousands of companies each year that will grow fast and make millions, they will fall short of the huge valuations now considered to be “venture scale.” This dynamic begs the question, is achieving VC funding—and giving away huge shares of your company along the way—really the right goal for most startups? And if not, is there another way to build a company that makes big money? Consider this: only 7% of the companies on the Inc. 500 list of fastest growing companies have taken VC dollars. How are the other 93% growing? They are using small investments from angels, friends and family, or debt financing, but overall, they

are growing through revenue and profit. If only 7% of companies take VC dollars, why does it dominate the headlines? Why is raising money, rather than building and selling, so often the first hurdle startups attempt to clear? Founders—especially new ones—are falling under the spell of a startup mythology that celebrates elite companies and rarified deals, virtually ignoring everything else. Let’s face it, “Uber Valued at $41B” is a much sexier headline than “Smart New Company Turns a Profit.” So what does this mean for founders who need capital to bring their ideas to life? First, separate the myths from the miracles, and accept that even very good companies will never get picked up by the VC tractor beam. Often, when early stage ventures are hyper-focused on VC funding, it is a red herring, signaling that the founders are distracted from the more important task at hand: make something that someone else will buy. Before you embark on a VC fundraising strategy, ask yourself why, and understand the true consequences of that decision. Some infusion of capital is likely important, and friends and family, personal savings, and angel investing are important options. Equally important, but less celebrated, is a company’s ability to generate revenue, specifically enough for the team to live and for the company to operate effectively. We call this ramen profitable. From here, you don’t need to take investment, you choose to take investment, and the distinction is important. Once ramen profitable, a company is often more attractive to investors, improving odds of raising money and at better terms. What might happen if you put the energy devoted to fundraising into creating and selling? Maybe, like 93% of the fastest growing companies in America, you can build a profitable company the “old-fashioned” way: by finding customers and getting them to pay you. It’s not glamorous, but far more effective than blindly chasing the VC dream. Melissa Withers Betaspring

www.risbj.com | volume four issue two

SMALL BUSINESS | Rhode Island Real Estate News

Rhode Island Re

The number of homes sold during three months of the year rose six perc the same time period in 201 42

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Rhode Island Real Estate News | SMALL BUSINESS

eal Estate News

g the last cent from 13.

Positive Trends

For Rhode Island’s Housing Market In December WARWICK, RI – The year ended on an upswing in Rhode Island’s housing market, with December’s single family home sales increasing 18 percent from the previous year. The statistics, reported today by the Rhode Island Association of Realtors, also showed a four percent uptick in median price from 12 months earlier. Though the housing market fluctuated during 2014, general trends continued to show a recovering market. Foreclosure and short sales fell from 20 percent of total sales in December, 2013 to 14 percent of all single family sales last month. Sales under contract, which foretell sales activity in the market in the months ahead, increased in December for the fifth consecutive month. “Both sales activity and median price rose from the prior year for three out of the last four months of 2014. We seem to be heading in a positive direction as we enter the new year,” said Bruce Lane, 2015 President of the Rhode Island Association of Realtors. “Though sellers are gaining an advantage due to a slight shortage of homes for sale, the number of properties on the market will likely increase now that the holidays are over.” There was a five-month supply of homes for sale in December. A six-month supply indicates a market balanced between supply and demand.

RI Single Family Home Sales Activity and Median Price Increase in Fourth Quarter WARWICK, RI – Home sales statistics released today by the Rhode Island Association of Realtors showed a strong uptick in single family home sales in the fourth quarter of 2014. The number of homes sold during the last three months of the year rose six percent from the same time period in 2013. Median price also made a solid gain of eight percent, rising to $217,000 from $201,000 12 months earlier. Though sales activity also picked up in the condominium sector, the growth was more moderate, rising three percent from the fourth quarter of 2013. Median sales price fell by the same percentage to $189,900. Multi-family home sales activity remained relatively stable from October through December, with a one percent increase in sales year over year. The fourth quarter median sales price of multi-family properties rose six percent to $148,750. “There was good traction in the market going into the New Year,” said Bruce Lane, 2015 President of the Rhode Island Association of Realtors. “Interest rates, which fell again to near record lows late last fall, helped housing affordability. Improving economic indicators also seemed to enhance consumer confidence.”

www.risbj.com | volume four issue two

SMALL BUSINESS | Minority Business Isn’t So Minor!

Minority Business Isn’t So Minor! by Michael Brito

When we think of a minority business, we tend to think of a small, family-owned shop that’s been handed down from grandparents to parents to son and so on. This may be true for some, but not all. We have researched many local MBE’s and found a trend that has sparked some interest. 75% of the small shops we talked with are firstgeneration start-ups. Most involve two or more members of the same family leaving the more successful ventures surviving not more than one decade! This is noteworthy because even though some of the companies span more than ten years (in only 15% of the participants), there’s no guarantee that it will survive into the next generation! This means that what the first or “start-up” generation finds as the passionate pursuit or entrepreneurial expression of life, won’t always transplant to the next. So when Dad or Mom is ready to slow down or retire altogether, the son, daughter, cousin, niece or nephew very often will find other interests regarding employment. This isn’t our only issue and should not be the single focus as we investigate the real and damaging consequences of this trend. We will look into not just the problem regarding the future of our MBE’s longevity, but also why some thrive and some don’t. Our research concludes that it’s not simply lack of interest that extinguishes the entrepreneurial flame; it sometimes can be that the second leg of the relay team hasn’t received what is needed to carry the baton to the finish line. During the run of this topical series, we will find out interesting facts, trends and solutions to starting, running and passing on an MBE/DBE business in Rhode Island. We will tackle key issues that are specific to this community, take on ideas that allow the smaller MBE/DBE companies to survive

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economic dips, as well as how to grow without jeopardizing quality. The point is that while the larger Rhode Island-based organizations can have access to personalized, focused mentoring, consulting and business guidance, we too have the same help (if not more)! The MBE/DBE community just needs to know where to look and how to access it. That’s why this topical series exists and will be here to answer questions, issue thought-provoking ideas, as well as offer avenues to pursue for the entrepreneur that not only wants to succeed, but also thrive in his or her arena! This series will also help with the family pressures that ultimately arise as you pursue the image of success. Through this effort, we want to find the solution together that allows your business to traverse more than one generation, grow along the way and provide your community with the products and services they deserve. So start now to think about how we can help you grow your business. Any and all areas are fair game. We have experts ready to answer and respond to what is standing in the way of your dream. Having been raised in, worked in and run a minority and disadvantaged business, we know firsthand the specific and unique challenges that can be faced by this very special workforce—the very workforce that is and always will be responsible for the economic foundation of our future! So be a part of this unique discussion that promises to run alongside of the entrepreneur with all the help, advice and support you need to build an enterprise worthy of passing on to the next generation. Contact us today with your most challenging issue of the day and look to us for the reply in the next issue! Michael Brito Team Member, Managing the Road Ahead www.managetheroadahead.com

Who, What, When, Where, Why And How To Invest In Your Business | SMALL BUSINESS

Who, What, When, Where, Why And How To

INVEST IN YOUR BUSINESS by Patricia Raskin

There are so many opportunities to promote and grow your business, now more than ever before. That opens up doors, but it’s not easy to decide between public relations consultants, business coaches, social media marketing, self-publishing, online podcasts, magazine ads, and the list goes on. So when should you hire these experts and invest in these services? Here are my 10 “who, what, where, when, why and how” tips for investing in your business: 1. Know the end goal. Don’t invest for the exposure IF you don’t foresee a positive tangible result. You increase your odds by doing your research. 2. Know the market and reach, and approximate audience numbers. Study each of the marketing opportunities and figure out which would be best to grow your business, not your ego.

8. Self-publishing your book can be a great tool to offer to your clients, customers and audiences. Today, the cost is minimal and you can buy the copies you need at a reasonable cost. Once you pay the upfront costs for design and printing and editing, the profits are yours. 9. Getting your book published by a publisher who will pay you an advance and a royalty, is more challenging and very competitive. You need a strong platform, social media numbers, and a hook to be accepted by most publishers, or you need an agent who believes in you and will find you a publisher. Royalties pay off after you have sold thousands of books. 10. You will have to make an investment in your business, but it doesn’t have to break the bank. Create a budget and invest in what really speaks to you as a sound investment. Remember that there are no guarantees in marketing, but calculated risks are necessary and the only way to grow your business. Get sound advice, watch the trends and the competition, make yourself unique, watch your bottom line, and know that money is a great tool when it is well managed.

3. Social media marketing is great for most businesses these days and can be no-cost or lowcost if you do it yourself. But make sure to target your audience in your social media marketing. Have a business page and speak to potential customers so they know and feel that you want to help them. 4. Public relations consultants know the media market and where the best print and electronic media outlets are to get your message out. They can save you time, which saves you money because you reach your potential clients faster. 5. Business coaches, just like athletic coaches, help you stay in the game and perfect your game. They help you stay on track and move ahead. We all need mentors and coaches. Find the one that has the knowledge and wisdom, understands you and your goals, and, most of all, makes you feel comfortable. 6. Creating podcasts can be beneficial because you are letting your clients and customers know about your expertise and knowledge. You can also edit them for specific points. These can be no-cost or low-cost depending on the vendor you choose. 7. Blogs are one of the best no-cost marketing strategies, but what is no-cost in dollars is usually high-cost in time. Even short blogs work well. The idea is to build your customer base through e-mails.

Patricia Raskin Raskin Resources Productions www.patriciaraskin.com

www.risbj.com | volume four issue two

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Supplying A Global Market From Our Backyard | SMALL BUSINESS

Supplying a global market F R O M

O U R

by Chris Barnett

Supplying a global market from Our Backyard, the warehouse at Banneker Industries is humming. Forklifts glide down aisles stacked high with products that soon will be shipped from its North Smithfield warehouse to customers as near as Portsmouth, RI and as far as Turkey. With over 20 years of sustained growth, Banneker is one of the country’s leading privately-held supply chain management solutions providers. Recent honors include Providence Business News’ 2014 Manufacturing Excellence Award for Supply Chain Management and its sixth consecutive Supplier Excellence Award from Raytheon Integrated Defense Systems. “We provide scalable solutions in our customer’s backyard or anywhere in the world that they need us to be,” says Founder and CEO Cheryl Snead.

B A C K Y A R D

supply chain or just a portion of it. Our solutions are customized to your business and flexible to your changing needs,” Snead explains. Banneker serves clients in diverse domestic and international markets, including aerospace and defense, manufacturing, retail, government and e-commerce. Customers include Raytheon Company, Harris Corporation, Johnson Controls, CVS Health, BAE Systems and Honeywell. As a supply chain product integrator with substantial experience in complex manufacturing, Banneker understands the challenge that the purchasing process can place on organizations. This is especially true for companies that buy large quantities of parts or supplies from multiple sources to support their direct and indirect operations. Banneker supports those needs through strategic vendor management, which includes dynamic sourcing capabilities through

We provide scalable solutions in our customer’s backyard or anywhere in the world that they need us to be Founded in 1991, the company now has operations in Massachusetts, Alabama, California, Texas and Virginia. Banneker offers integrated logistics and supply chain management services to a broad spectrum of governmental and commercial customers, including value-added warehousing, procurement, inspection, kitting, distribution, packaging and fulfillment, onsite services and supply chain consulting. “At Banneker, our team is passionately driven to optimize your supply chain. From warehousing and inspections to procurement, supplier management and kitting, we can manage your entire

progressive supplier quality assessments and audits. From complex electronics, custom components and raw and machined metals to hardware consumables and other commercial off-the-shelf goods, Banneker’s procurement services simplify clients’ purchasing processes, allowing for one-stop shopping and enhanced spend management, visibility, flexibility, savings and supply-base consolidation. Chris Barnett Senior Public Affairs Officer, Rhode Island Foundation

www.risbj.com | volume four issue two

SMALL BUSINESS | How To Prepare For A Retirement Plan Distribution

How to Prepare For A by David MacMillan

One of the most important financial decisions that many people make involves the distribution of money from one or more retirement plans. When the time comes to begin making withdrawals, many plan participants are not prepared to make the decisions that may be right for them. Often, they don’t understand the choices available, or they may not anticipate the deadlines for their decisions – so they fail to seek the professional help they need before these deadlines occur. If a retirement plan distribution is on the horizon for you, this article can help you identify important issues to consider. For more personalized assistance, be sure to consult a financial professional well in advance of any distribution deadlines you may face.

It All Starts With a Trigger Event

Any retirement plan distribution begins with a “trigger event.” This is an occurrence that may cause the money in your plan account to be distributed to you under the terms of the plan. The six most common trigger events are: 1) separation from service (i.e., quitting, being fired, or offered early retirement); 2) reaching retirement age; 3) reaching age 59½ in a plan that allows distributions after that age; 4) death; 5) disability; and 6) termination of the plan. Once a trigger event occurs, participants (or their beneficiaries)

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normally are entitled to receive their vested account balances, less any outstanding plan loan balances. It would be wise to pay back your loan prior to taking your distribution. Any outstanding loan will be treated as a premature distribution subject to tax and a 10% penalty. For many people, this is the “biggest paycheck” they may ever handle, representing years of personal savings, accumulated earnings, and perhaps even employer contributions.

Perhaps the most important point to make about handling a distribution involves the need to plan ahead for the best way to handle that distribution, based on your personal circumstances. For example, if your company is downsizing and laying off workers, don’t wait for “pink slip day” to seek information or advice. Many other pressures may be swirling around you when the trigger event takes place, and you need time to plan for handling your money wisely.

Your Choices Are Many

One of the first steps in planning for a trigger event is to understand all your choices for handling your money, and then select the best one for you. You will probably have several of the following options for the distribution of your retirement plan money: •

Leave money in the existing plan and let it compound. Depending on the kind of plan it is, and its terms, you may or may not have this choice. For account balances over $5,000, the employer may not force a distribution. If you do, however, leaving money in the plan means you will be limited to the plan’s investment choices. You won’t be allowed to put more of your own money into the plan after you leave work. However, you may be investing in institutional shares which generally

How To Prepare For A Retirement Plan Distribution | SMALL BUSINESS

A Retirement Plan Distribution have lower fees than retail share classes outside the plan. Choosing this option, even in the short term, can help you avoid making a mistake in how you take your distribution. •

•

Take an annuity income payout from the plan, if one is offered. This choice converts plan money into a fixed income guaranteed by the plan or by an insurance company. However, once you accept this choice, you generally can’t change it. The annuity income may provide less purchasing power the longer you live, because of inflation. Some plans provide for cost of living adjustments (COLA); you must read the terms and conditions before electing this option. Pay tax on the distribution and invest or spend the after-tax amounts. This is usually not an attractive choice – especially if your plan account balance is large. The employer is required to withhold 20% on any distribution and the distribution will be added to your other income (for the year in which you take your lump-sum distribution) – and you could find yourself taxed in the highest income tax bracket. (This means you may pay significantly more in income taxes than if you took your money over time.) In addition, unless you’re age 55 or older and separating from service – or if you are under age 59½ – your distribution also could be subject to a 10% federal tax penalty, on top of any current income tax you may have to pay. • Transfer the money to the plan of your new employer, if the new employer’s plan allows for such transfers. Tax law changes encourage transfers between companies and types of plans. To make this choice work, you’ll need to fill out the appropriate paperwork to ensure that your money is properly transferred from one plan to the other. In this case, as long as you

don’t make any withdrawals, you won’t owe current income tax, and all your plan money can continue to grow until you begin receiving it. •

You can transfer the money directly to a Traditional IRA in your own name. You must arrange this transfer between the company you are leaving and your choice of IRA provider. In this case, you do not actually receive money and there is no current income tax consequence.

•

You can receive the distribution and then “roll it over” to a Traditional IRA in your own name. You must deposit money into the IRA within 60 days of receipt. Your current plan provider will withhold 20% of the distribution for federal income tax, so you will have to replace this amount yourself (from other sources) if you want to avoid tax and possible penalty on that portion of the money. If you are planning to do a rollover, try to do the direct transfer described above, since it will enable you to avoid the 20% withholding.

•

You may transfer money to a Roth IRA, if you qualify. In a Roth conversion, you pay current income tax on the converted amount and then can qualify for tax-free distributions later on, if you meet certain requirements.

Which Choice is Best?

It’s impossible to say which distribution option might be right for you, without carefully evaluating your options. And with so much money at stake, you need to make sure your analysis is thorough and considers both your personal circumstances and your long-term financial needs. That’s why it usually pays to sit down with a financial professional well in advance of a trigger event. Many professionals can help you understand the tax and investment consequences by using retirement distribution software and customized illustrations. They also can explain other choices you may have. When you consider how long and hard you have worked to earn your “biggest paycheck,” it’s well worth the effort to make the most of it with the help of a qualified financial professional. David MacMillan Principal Director The Bulfinch Group Ocean State Partners

www.risbj.com | volume four issue two

SMALL BUSINESS | Personnel Practices: Employee Handbook Essentials

Personnel Practices EMPLOYEE HANDBOOK ESSENTIALS by Matthew R. Plain, Esq. & Kristen M. Whittle, Esq.

Most employers have some sort of employee handbook, setting forth policies and expectations for employees. (For employers without a handbook, now’s the time to put one together!) A well-drafted employee handbook sets parameters for the employment relationship and will help guide both the employer and employees through commonly-occurring events during the employment relationship. On the other hand, a poorly-drafted or non-existent handbook may wreak havoc on the employment relationship. The following dos and don’ts provide elements for employers to consider when reviewing or implementing their employee handbooks. • Do create a policy concerning various types of leave. This provision within the employee handbook will likely be referenced most frequently. Be sure to consider how vacation, personal, and sick time will accrue, if at all, and whether employees may carry over any such leave from year to year. Determine whether to pay

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employees for accrued sick or personal time upon separation of employment, which, unlike accrued vacation time, is not required under Rhode Island law. If desired, include a provision for bereavement leave, carefully list the types of relatives for whom the employee may be entitled to such leave, and consider whether (and how much of) such leave will be paid. With respect to family and medical leave, employers should reference the federal and state family and medical leave acts and comply with their provisions. Private employers with fewer than 50 employees, who are typically not subject to these acts, may nonetheless wish to offer family and medical leave as an employee benefit, and should carefully detail the nature and extent of such leave. • Don’t unintentionally affect the employment-at-will relationship. In Rhode Island, employment is presumed to be at-will, unless the employer provides otherwise. Language suggesting that employment may last for a particular term, or giving employees the right to progressive discipline, will affect the employer’s ability to terminate employees at will. Although employers may choose to include such provisions,

Personnel Practices: Employee Handbook Essentials | SMALL BUSINESS

Require the employees to acknowledge receipt of the handbook by signing a form, to be kept in their personnel files be aware of the effect they will have on the employment-at-will relationship. • Do set forth standards of conduct and performance, including expectations for attendance, job performance, and behavior on the job. Remember to include potential consequences for violations of such policies, and reserve the right to immediately terminate employees for such violations. • Don’t forget to include an anti-harassment policy. Rhode Island law requires employers with 50 or more employees to establish an anti-sexual harassment policy, but best practices dictate that all employers should establish a policy prohibiting workplace harassment of any kind, on the basis of any protected class, including but not limited to sexual harassment. • Do include a thoughtful electronic use policy. Robust employee handbooks should include provisions setting forth parameters for employees’ use of employer-owned electronic equipment, devices, and networks. Due to cyber-security risks, employees should typically only be permitted to use such networks and devices for work-related purposes. However, employers should be careful to not prohibit employees from participating in statutorily protected communications via company email during nonworking time, in accordance with a recent opinion from the National Labor Relations Board. • Don’t forget to distribute the handbook to all new employees, and to re-distribute the handbook to current employees periodically, particularly after any updates. Require the employees to acknowledge receipt of the handbook by signing a form, to be kept in their personnel files, and that the employees’ continued employment with the company signals the employees’ assent to the terms of the policy, including any changes. Although there is no “one-size-fits-all” employee handbook, thoughtful consideration of the employer’s own unique needs, as well as the inclusion of some basic provisions, can go a long way.

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Matthew R. Plain, Esq. Partner, Barton Gilman LLP

Kristen M. Whittle, Esq. Associate, Barton Gilman LLP

HealthSource RI is the official healthcare portal for the state of Rhode Island. Copyright ® HealthSource RI logo is the trademark and service mark of HealthSource RI.

www.risbj.com | volume four issue two

FEATURED NONPROFIT | Small Business Lender SEED Corp Helps O’Crepe Become A Success

Small Business Lend SEED Corp Helps O’C

Become a

Since becoming a small business lender in Rhode Island in 2009, the South Eastern Economic Development (SEED) Corporation has made 65 loans, totaling $7.3 million. As a U.S. Small Business Administration (SBA) designated intermediary lender, SEED is the leading micro lender in Southern New England. Under the Micro Loan Program, SEED made 38 micro loans in Rhode Island since 2009, totaling $1,071,000 and creating 95 jobs. The SBA Micro Loan Program encourages loans up to $50,000 for start-up and existing small businesses, including homebased businesses. SEED also makes larger loans under its Small Loan and SBA 504 Programs.

“We are very pleased to be able to assist small businesses in Rhode Island to start up, grow and create jobs,” stated Maria Gooch-Smith, SEED’s executive director. “As a non-bank community lender, SEED can make small business loans, which a bank might not be able to make, such as loans to start-up businesses and those with tight cash flow and limited collateral,” added Gooch-Smith. Last year, entrepreneur Brian Sousa approached SEED seeking

RISBJ | rhode island small business journal

an SBA Micro Loan to assist in the start-up of his rolling creperie food truck business. With SEED’s help, in addition to his personal injection, Sousa was able to get his business up and running in July 2014 and make O’Crepe a well-known hot spot in the city of Providence. O’Crepe offers crepes of the savory and sweet varieties, both food and dessert selections, providing breakfast and lunch to locals, business professionals and students that frequent downtown Providence. Their Facebook page is www. facebook.com/ocreperi.

According to Tamarah Bacon, SEED’s Assistant Vice President, Business Development & Assistance Manager, loan funds are flexible and can be used for working capital, inventory, furniture and fixtures, and machinery and equipment. The maximum term on the loans is six years and the current rate is six percent fixed with no pre-payment penalty. “A micro loan can be a portion of the total financing needed by a small business,” explained Bacon. “If a borrower needs to finance $150,000, and a bank is willing to lend $100,000, SEED can provide a $50,000 micro loan, thus filling the gap and completing the financing package for the borrower,” added Bacon.

Small Business Lender SEED Corp Helps O’Crepe Become A Success | FEATURED NONPROFIT

der

a Success

Crepe

Other small businesses recently financed in Rhode Island under the Micro Loan Program include: • • • • • • • • • • •

A.G. Services, LLC, Providence American Chest Company, Wickford Angkor Restaurant, Inc., Providence Aten Energy Conservation, LLC, Providence Barlow’s Plumbing & Well Systems, Scituate Hair Heart & Soul Spa & Salon, Bristol O’Crepe, LLC, Providence Raven Ridge Landscaping, North Kingstown Rive Gauche Day Spa, Woonsocket The Rhody Center for World Music, Pawtucket Total Body Affinity, Johnston

SEED is also a Community Development Financial Institution (CDFI), under the U.S. Department of the Treasury, and can make loans to Rhode Island borrowers up to $200,000 for working capital and real estate projects. The term on the loans is up to ten years. If necessary, longer repayment periods are available. Interest rates range from five to six percent fixed.

and financial projections with their application. All small business owners need to have a credit score of at least 60. SEED focuses on the past two years to see how debt has been handled, and also reviews the small business owner’s household income to see if there is repayment ability. “SEED can be flexible with repayment terms and collateral, and is willing to take a second or third lien position on the small business owner’s home,” stated Bacon. The application process for loans up to $200,000 includes completing SEED’s application form, and providing federal income tax returns for three years for the small business and the owners. The list of other documentation required can be found in the application form, which is available on SEED’s website www.seedcorp.com. The approval process takes approximately two weeks if the small business provides all the necessary information. For more information about the SBA Micro Loan Program, or other SEED loan programs, and free entrepreneurial workshops, please call 508-822-1020 x 312 or visit seedcorp.com.

Start-up business owners are required to provide a business plan

www.risbj.com | volume four issue two

SMALL BUSINESS DIRECTORY

local small bus APPAREL

COMMERCIAL REAL ESTATE

J Hilburn Contact: Rae Medgyesy Rae.Medgysey@jhilburnpartner.com www.Jhilburn.com 3 Wagon Lane Attleboro, MA 02703 401-258-3656

Butler Realty www.butlerrealty.us jab@butlerrealty.us Contact: Jeff Butler 655 Main Street East Greenwich, RI 02818 401-884-6050

BUSINESS SERVICES The Business Develoment Company pdorsey@bdcri.com www.bdcri.com Contact: Peter Dorsey 40 Westminster Street, Suite 702 Providence, RI 02903 401-351-3036 Lyoness America (Local Loyalty Partners) www.lyoness.net/us Localloyaltypartners@gmail.com Contact: Ernie Pitochelli 130 Darwin Street Woonsocket, RI 02895 401-368-6911

COACHING & CONSULTING Redwood Environmental Group Gkaufman@redwoodenv.com www.redwoodenv.com Contact: Gary Kaufman 10 Elmgrove Avenue Providence, RI 02906 401-270-7000 The Growth Coach D.Marantz@thegrowthcoach.com www.thegrowthcoach.com/dmarantz Contact: Daniel Marantz 33 Urso Drive Westerly, RI 02891 401-612-4769

MG Commercial www.mgcommercial.com mike@mgcommercial.com Contact: Mike Giuttari 365 Eddy Street Providence, RI 02903 401-751-3200 Scotti & Associates www.scottirealestate.com pmbgs@scottire.net Contact: Peter Scotti 246 Hope Street Providence, RI 02906 401-421-8888

DESIGN & MARKETING Artinium, Inc. www.artiniuminc.com Darren@Artiniuminc.com Contact: Darren Marinelli 5 Division Street, Building D, 2nd Floor Warwick, RI 02818 401-729-1997 Big Fish Results www.bigfishresults.com Tony@BigFishResults.com Tony Guarnaccia 5 Division Street Warwick, RI 02886 401-484-8736

DISASTER RECOVERY Lynchâ&#x20AC;&#x2122;s Cleaning & Restoration www.lynchsrestoration.com

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Contact : Shawn Lynch 25 Starline Way Cranston, RI 02920 401-464-8937 PuroClean Disaster Restoration www.purocleanri.com Tabbruzzese@puroclean.com Contact: Terri Abbruzzese 5 Minnesota Avenue Warwick, RI 02888 401-633-5565

ENERGY Super Green Solutions www.supergreensolutions.com Robert Cagnetta 300 Quaker Lane, Box # 6 Warwick, RI 02886 401-932-1985

FINANCE J.P. Matrullo Financial www.jpmatrullofinancial.com jpmatrullo@matrullofinancial.com Contact: Jonathan Matrullo 10 Orms Street, Suite 410 Providence, RI 02904 401-276-8788 Morgan Stanley www.morganstanley.com Rick.Bellow@ms.com Contact: Rick Bellows 1 Financial Plaza, 19th Floor Providence, RI 02903 401-863-8400 The Ameriprise Financial Planning www.ameripriseadvisors.com/Eric.Coury Eric.Coury@ampf.com Contact: Eric Coury 1 Citizens Plaza, S. 610 Providence, RI 029O3 401-996-7660

Want To Get Your Busines Email sales@risbj.com fo

SMALL BUSINESS DIRECTORY

siness directory FOOD AND BEVERAGE

HOSPITALITY

RENTALS

3rd Rock Coffee Company www.3rdrockcoffee.com Newell@3rdrockcoffee.com Contact: Newell Brown 21 Old Town Trail Narragansett, RI 02882 401-413-4925

Choice Hotels www.choicehotels.com Keastman@teamadvantech.com Contact: Kate Eastman 360 Airport Road Fall River, MA 02726 978-290-0515

Ocean State Rentals www.oceanstaterental.net Oceanstaterental@gmail.com Contact: Jim Baldwin 530 Wellington Ave Cranston, RI 02910 401-941-4002

HEALTH & WELLNESS

INFORMATION TECHNOLOGY

SIGNS

Aflac Allen Miller 29 Crafts Street Newton, MA 02458 617-658-1820 www.aflac.com Allen_Miller@us.aflac.com

Thrive Networks www.thrivenetworks.com npacitto@thrivenetworks.com Contact: Kevin Ellis 836 North Street, Building 300, S. 3201 Tewksburry, MA 01876 978-243-1432

AA Thrifty Signs www.aathriftysign.com mcahill@aathriftysign.com Contact: Linda Iannotti 221 Jefferson Boulevard Warwick, RI 02888 401-738-8055

Amethyst Biomat www.mindfulness-abundance-healing.com healingartsri@cox.net Contact: Maria Sorensen 1130 Ten Rod Road N. Kingstown, RI 02852 401-932-6820 Jennifer L. Wilkicki, LMT & Esthetician www.styleseat.com/jenniferwilkick jlw531@aol.com Contact: Jennifer Wilkicki 51 Sockanosset Cross Road, s. 204 Cranston, RI 02920 401-935-3549 Qivana www.blessedwithhealthandwealth.com Janetdeleo@gmail.com Janet DeLeo 66 Club House Road Coventry, RI 02816 401-524-2339

ss Listed In Our Directory? or more information

TIMIT Solutions, LLC www.timitsolutions.com tmontgomery@timitsolutions.com Contact: Tim Montgomery 100 Randall Road, Unit 93 Wrentham, MA 02093 774-307-0652

INSURANCE Allstate Benefits www.allstate.com Jeff.Davide@allstate.com Contact: Jeff Davide 98 Hollis Avenue Warwick, RI 02889 401-500-3748

PAYROLL Paychex www.paychex.com apachomski@paychex.com Contact: Andy Pachomski 501 Wampanoag Trail Riverside, RI 02915 401-663-6677

TELECOMMUNICATIONS Wireless Zone www.wirelesszone.com j.sorensen@wirelesszoneri.com Contact: Jason Sorensen 76 Gate Road N. Kingstown, RI 02852 401-886-8484

TRANSPORTATION A Airlines Express Limousine & Car Service, Inc. www.aairlineexpresslimousine.com cottongin@cox.net Contact: Virginia Coulley P.O. Box 222 Saunderstown, RI 02874 401-295-4380

RESIDENTIAL SERVICES Rescom Exteriors www.iwantnewwindows.com Jrousseau@Iwantnewwindows.com Contact: Janette Rousseau 714 A South Bridge Auburn, MA 01501 508-832-5202 www.risbj.com | volume four issue two

Helping to Build and Preserve Wealth We are pleased to announce our new Ocean State Office:

1300 Division Road • Suite 204 West Warwick, RI 02893 401.381.0531 Visit www.bulfinchgroup-osp.com for more information.

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Let us know what we can do for you. As a national ﬁrm, we have never lost sight of our loyalty and commitment to the community in our backyard. With our deep expertise and diverse skill-set, we are able to provide the local business community with a variety of services to help them achieve success.

David A. MacMillan

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www.risbj.com | volume four issue two

The smallest state has the biggest dreams. And health plans to fit every one of them.

Affordable Plans for Any Size Business No two dreams are alike. Which is why we offer affordable, flexible health plans to meet the needs of any business in Rhode Island. Including yours.

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